Intraday Fibonacci Volatility Bands with RSI Entry Filters

Summary

This intraday strategy builds price bands around a volume-weighted moving average using a multiple of standard deviation, then combines those levels with a 14-period RSI. It considers a long after price moves below the lower outer band and RSI crosses back above the oversold threshold; the short setup mirrors this at the upper band with RSI crossing below the overbought threshold. Entries are placed as limits at the close, subject to additional price checks against target levels.

The script sets exit targets at inner band levels recorded when a position opens and calculates a percentage stop from the average entry price. The author describes it as intended for short chart intervals and reports observing no repainting during a two-week test, while advising against high-volatility conditions. No broader performance data, sample details, or comparison benchmark are supplied, so that brief observation does not establish reliability. The configurable band length, multiplier, RSI thresholds, and stop setting allow changes, but require separate validation across instruments, sessions, and execution assumptions.

Key ideas

• The bands use a volume-weighted moving average and a standard deviation envelope.
• Long entries require a lower-band excursion and an RSI recovery through the oversold threshold.
• Short entries use an upper-band excursion and an RSI decline through the overbought threshold.
• Exit targets are drawn from inner band levels, with percentage stops based on average entry price.
• The reported repainting observation covers only a two-week test and provides no broad performance evidence.

Tags

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