Ahoora Trend: An ATR-Adjusted RSI Oscillator

Summary

Ahoora Trend adapts the relative strength index by calculating it from a value derived from moving averages of candle highs and lows, rather than directly from closing prices. It uses a lookback of 25 periods for those averages and for the RSI and average true range. The candle’s position relative to the averages selects which average is adjusted by the ATR before the RSI is calculated.

The resulting oscillator is intended to flag overbought or oversold conditions after price has moved substantially from its mean. The description says its state resets when price crosses the relevant moving averages and presents 80 and 20 as reference levels. It provides an indicator formula but no chart, backtest, or performance evidence. It does not specify markets, timeframes, entry or exit rules, or risk controls, so the oscillator’s trading value and robustness are not established.

Key ideas

• The oscillator applies RSI to an ATR-adjusted value derived from moving averages of highs and lows.
• A candle’s position relative to the averages determines which average is used in the adjustment.
• The indicator is intended to identify overbought and oversold moves away from the mean.
• The description provides reference levels but no empirical performance evidence or complete trading rules.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.