The RSI Signal Trend Catcher is a simple MT4 indicator that works just like the traditional RSI. The RSI Trend Catcher plots a line that is similar to RSI but with some alterations.
The indicator will tell you where the overbought and oversold zones are and present buying and selling options. It also catches bullish and bearish diversions and places trends better than traditional RSI.
The RSI Trend Catcher is made up of three different colors: red, green, and yellow. Each color has a unique property. The yellow color indicates a trading range, while the green color represents a trend.
How do I trade the RSI trend catcher signal indicator?
This indicator uses red or green lines, as mentioned above, to indicate the direction of the trend. You must remember the RSI settings to apply the indicator.
If the RSI falls below 30, then it’s in an oversold zone and presents a great opportunity to buy. When the RSI is over 70, the RSI is in an overbought area and presents a good sell opportunity.
When the indicator is red, it means that the RSI has fallen below 30 points, and you should take short positions. If the indicator is green, then it’s a good buy, and the RSI level is higher than 70.
The indicator will also show the current trend of the chart. The indicator shows the buy or sell signal in the upper left corner of the chart.
Find out how to buy and sell the indicator.
RSI Trendcatcher Signal Indicator Purchase Strategy
- The indicator should show a line in green.
- Wait until the green line has fully developed.
- Enter once the red line turns green.
- Stop-loss orders should be placed near the lowest point of an underlying buying point.
- When the RSI line turns color, exit.
Sell indicator
- The indicator should show a line in red.
- Watch for the red line.
- Enter once the green line turns red.
- Stop-loss orders should be placed near the highest point of a sale.
- When the RSI line turns color, exit.
The conclusion of the article is:
The RSI Signal Trend Catcher indicator is similar to a standard RSI, but with a few changes. This indicator can be used on any timeframe and is an excellent detector of trend continuations or reversals.
