There is a large variety of uses for the widely used Relative Strength Index (RSI) indicator. We have now added another dimension of customisation with the ability to set conditions based on the RSI value crossing above or below a certain level.
This can be used within your rules to time reversals in the RSI or to buy strength or sell weakness when RSI manages to break above or below certain levels.
As shown on the chart below, price and RSI react strongly to the 70, 50 and 30 levels. On higher time frames, such as the 4-hour featured here, the 50 level can act as strong resistance and support with a cross above signalling strength and a cross below signalling weakness.
The rule below provides an example of how this new feature can be used. The rule will buy once RSI crosses above the 50 level (4-Hour) with price greater than the MA 100 (1-Hour), accompanied by a 0.5% increase within 1-Hour.
The rule will then sell once RSI is greater than 60 (4-Hour) and price has increased by at least 2% from entry price – acting as the take profit. Alternatively the rule will sell once RSI crosses below the 50 level (4-Hour), signalling the coin is experiencing weakness with the trend reversing if RSI breaks below the 50 level.
Build rules and automate your trades now using the new ‘RSI Crossing Above and Below’ feature on Coinrule! (https://coinrule.com/)