SMA200 & RSI [Tarun]

22 nov

The SMA200 & RSI Signal Indicator is a powerful tool designed for traders who want to identify potential entry zones based on a combination of price action and momentum. This indicator combines two essential trading components:

• SMA200 (Simple Moving Average): A widely used trend-following tool that highlights the overall direction of the market.
  
• RSI (Relative Strength Index): A momentum oscillator that measures the speed and change of price movements.
  

How It Works:

• Price Above SMA200: Indicates bullish market conditions.
  
• RSI Between 40 and 20: Suggests that the asset is in a potential oversold or pullback zone within a bullish trend.
  

When both conditions are met, the indicator triggers:

• Background Highlight: The chart background turns green to indicate a potential signal zone.
  

Disclaimer:

This indicator is not a standalone trading strategy. Use it in conjunction with other analysis methods such as support and resistance, candlestick patterns, or volume analysis. Always practice proper risk management.