TSI True Strength Index Expert Advisor Setup - Setting Up TSI True Strength Index Expert Advisor
TSI True Strength Index Expert Advisor Setup - Setting Up TSI True Strength Index Expert Advisor - A trader can come up with an TSI True Strength Index Expert Advisor based on the TSI True Strength Index indicator explained below.
TSI True Strength Index Expert Advisor rules can be combined with other Forex indicators to come up with other Expert Advisor Bots that trade using rules based on two or more indicators combined to form a trading system.
True Strength Index TSI Analysis and TSI Signals
Created by William Blau
True Strength Index is a momentum indicator. The TSI is plotted by using a momentum calculation that reacts faster & is more responsive to price changes, making it a leading indicator that follows price action direction closely in the market.
The TSI is plotted as a blue line, the indicator also plots a signal line which is plotted as a red line, & these two lines are used to generate cross-over signals.
True Strength Index also plots a histogram which shows the difference between the TSI Line & the Signal line. This histogram crosses above or below the center lines, histogram levels above the center line shows a bullish cross-over signal, while center line levels below the center line shows a bearish cross-over signal.
TSI True Strength Index Expert Advisor Setup
FX Analysis and How to Generate Signals
The TSI uses various methods to generate signals. This indicator can be used in the same way as the RSI to determine general trend direction of currency markets. Overbought and oversold levels also can be shown using TSI. The most common methods of generating signals are:
Zero line Crossover (Histogram Forex cross-over not Lines Trading cross-over )
- Buy - when the histogram crosses above 0 a buy gets generated
- Sell - when the histogram crosses below the 0 a sell gets generated
Buy and Sell Signal - Forex TSI True Strength Index Expert Advisor Setup
Signal line Cross-over
- A buy gets generated when TSI line crosses above Signal Line
- A sell gets generated when TSI line crosses below the Signal Line
This signal is the same as the one above and the timing corresponds to the time when the histogram cross overs happen.
