Adaptive Laguerre RSI Using Fractal Energy
Summary
This indicator combines a Laguerre-filtered RSI with a parameter that adapts to a fractal energy calculation. The energy measure adjusts the filter’s gamma sensitivity, while the resulting oscillator is displayed alongside it. The description identifies the oscillator’s 0.2 and 0.8 reference levels as oversold and overbought thresholds, respectively. The formula derives a smoothed price series through four recursive Laguerre stages, then calculates an RSI-like ratio from their upward and downward movements.
The document provides translated indicator logic and explains the plotted components, but it reports no market tests or evidence that the thresholds generate profitable trades. It is an indicator description rather than a complete strategy: it does not specify entry and exit rules, asset classes, position sizing, or risk controls. Users would need to validate its behavior on their own data and account for the limits of oscillator signals.
Key ideas
- Fractal energy dynamically adjusts gamma in the Laguerre filter.\nThe indicator calculates an RSI-like oscillator from a four-stage recursive filter.\nThe displayed reference levels are 0.2 for oversold and 0.8 for overbought.\nThe document describes an indicator but provides no performance evaluation or complete trading system.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.