QQE: Smoothed RSI with Volatility-Based Trailing Levels

Summary

The document explains Quantitative Qualitative Estimation (QQE), an indicator that combines a smoothed Relative Strength Index with volatility-based trailing levels. It describes smoothing RSI, measuring changes in the smoothed series, smoothing that volatility measure, and scaling it with a multiplier to set the trailing distance. The included ProRealTime example specifies parameter values and shows how a trailing level is updated in relation to the smoothed RSI.

The material is an indicator description and implementation example, not a tested trading strategy. It provides no performance results, entry or exit rules, or guidance on selecting parameters. The prose mentions fast and slow levels, while the code shown updates and returns a slow level, so it does not demonstrate both levels in full. Traders would need to define how to use QQE and independently evaluate it across instruments and market conditions.

Key ideas

• QQE combines a smoothed RSI with volatility-based trailing levels.
• The volatility estimate is derived from changes in smoothed RSI and is smoothed further.
• A multiplier scales the smoothed volatility measure to determine trailing distance.
• The example code shows updating a slow trailing level but does not implement both levels described in the text.
• The document reports no strategy rules or performance evidence.

Tags

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