Welcome to the world of automated trading! Today, we’re diving into a straightforward Expert Advisor (EA) based on the RSI (Relative Strength Index) indicator.
Here’s how this strategy works:
- When the RSI crosses above the lower threshold, it triggers a BUY order.
- Conversely, if the RSI dips below the upper threshold, it signals a SELL order.
The lot size is set in the EA settings (Lot), and you can also define your preferred Stop Loss and Take Profit levels. This gives you plenty of control over your trades.
Now, here’s where it gets interesting: since the RSI can cross these levels briefly while candlesticks are forming, we only act on these signals once the candlestick closes. This means the trade will execute at the opening of the next candle.
Closing trades is primarily driven by opposing signals. For instance, if you have open buy positions and a sell signal appears, the EA will close all buy positions and open a new sell position. However, if any buy positions have a Stop Loss that would bring them to breakeven or yield a profit, those trades will remain open. This is a smart feature, especially for those of you who like to use trailing stops. Just set your trailing stop value to be equal to or greater than the minimum Stop Loss/Take Profit levels in the EA settings.
Important!
Keep in mind, this isn’t a “set it and forget it” kind of robot. Its primary purpose is to help you analyze the market and utilize the RSI indicator effectively.
Comments 0