Smoothed RSI Histogram for Trend Direction and Strength

Summary

This MetaTrader 5 indicator presents a smoothed Relative Strength Index using alternative averaging methods, including JMA and an ultralinear method. It displays the indicator as a histogram whose colors distinguish stronger from weaker upward and downward trends. The histogram’s value relative to configurable upper and lower trigger levels is used to assess trend strength; a middle level is also available. Users can configure the RSI period, JMA period and phase, applied price, horizontal shift, display style, and threshold levels.

The document explains the intended interpretation and lists the indicator’s inputs, but it provides no performance results, trading rules, or evidence that its signals predict future returns. It also depends on an external smoothing library that must be installed in the platform’s include folder. Traders should treat the color and threshold scheme as a way to visualize momentum, not as a validated standalone strategy; the document does not specify how to enter or exit trades or manage risk.

Key ideas

• The indicator smooths RSI using alternative averaging methods, including JMA and ultralinear averaging.
• Histogram colors identify stronger and weaker upward or downward trends.
• Trend strength is interpreted by comparing histogram values with configurable upper and lower levels.
• The indicator offers configurable periods, price input, display style, and horizontal shift.
• Its required smoothing library must be installed separately, and no trading performance evidence is provided.

Tags

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