1.8 KiB
ConnorsRSI Indicator
This is an implementation of the ConnorsRSI indicator developed by Larry Connors.
It is based on a description of the indicator in his book Buy the Fear, Sell the Greed (2018).
The formula given in the book is as follows:
ConnorsRSI(3, 2, 100) = (RSI(Close, 3) + RSI(Streak, 2) + PercentRank(Close, 100)) / 3
The first component is a standard RSI calculation on the Close price.
The Streak "price" is measured in terms of how many bars in a row the closing price has increased / decreased, and the second RSI component is calculated from that.
Any time the price goes from decreasing to increasing (or vice versa), the streak is set to 1 (or -1) and then incremented (or decremented) from there.
If there is no change in price, the streak is set to 0.
The third and final component is a percent rank computed on the Close price.
Parameters
RSI Period: The period used in the first component RSI calculation. (Default: 3)
Streak RSI Period: The period used in the second component RSI calculation. (Default 2)
Percent Rank Period: The period over which to rank prices in the percent rank calculation. (Default: 100)
Plots
ConnorsRSI: The calculated ConnorsRSI values. (Default: Yellow 3px Line)
Upper Level: The upper level displayed in the indicator. (Default: Red 3px Line @ 75.0)
Lower Level: The lower level displayed in the indicator. (Default: Lime Green 3px Line @ 25.0)
Screenshots
Strategies
The ConnorsRSI Bot utilizes this indicator to enter swing trades.