Before discussing the advanced trading strategy I will explain in this article, it is essential to emphasize that the indicator this strategy is based on differs greatly from the traditional RSI indicator we know. It is different in every aspect, including key levels and much more. Golden Scalping RSI indicator https://www.mql5.com/en/market/product/124308, which I released for free on the MQL5 marketplace 20 days ago, represents a true revolution in the world of trading. The phrase “breaking the secrets of RSI” mentioned in the title refers to completely new and innovative pivotal levels, which were discovered through thorough analysis and testing. I found that these levels interact with market price movement in an extraordinary and unprecedented way. These levels either form support and resistance zones, peaks and troughs, or confirmed breakout lines to the upside or downside.
I will present some images and real chart examples to demonstrate how these levels interact with chart movement in an astonishing and remarkable way.
We have the 30 level, which is the median level of the indicator. Above the 30 level, we have 5 levels:
Each level consists of a high line and a low line. As shown in the color-coded image, every level has two lines, meaning we could have a “TouchLine high” or a “TouchLine low.” So, for instance:
Color Coding:
For the levels above 30, the low line is dark-colored, and the high line is light-colored. For levels below 30, the high line is dark, and the low line is light. Overall, the lines above 30 are shaded in blue and green tones, while the lines below 30 are shaded in red and yellow tones.
How the Lines Work:
There are two modes for forming the lines in the indicator’s options:
Enhanced Confirmation Mode, which requires two candles to confirm the appearance of a line:
EnhancedConfirmation = true; // Confirm lines with conditions and close two candles
Sensitive Confirmation Mode, which is more sensitive and requires only one candle:
sensitiveConfirmation = false; // Confirm lines with sensitive mode and close 1 candle
You can choose either mode but not both simultaneously, as too many lines on the chart can become overwhelming and cause confusion.
Special Zones:
In the tests, I found two special zones that may serve as launching points for price rises or declines, or as accumulation zones. These two areas are highlighted with a gray-shaded box (LightGray).
Understanding the Line Names:
As seen in the images, hover your mouse over the line to know its name and whether it is a high or low line. You will also see what type of line preceded it—whether it was a high or low line. You need to pay close attention to the last and previous lines. Always keep your eyes on the cloud in the lower part of the screen and the lines in the upper part. If you decide to open a position, choose the appropriate timing by selecting the right candle, as this indicator uses candles, not lines. For instance, look for a reversal or engulfing candle along with the cloud color.
Regarding the floating panel, you can hide it from the settings, and it is important and useful to remind you about the matter of breaking the 30 level either downwards or upwards.
As for the red and blue boxes, they are to confirm the breakout of the 30 level with ten candles.
The 30 level may witness a breakout downwards, then upwards, and then downwards again, and the opposite could happen as well. This is because it is a significant level for determining the trend, and the breakout could also be strong without returning to the 30 level.
There is a difference between the blue and red boxes and the two ordinary 30 level lines that appear as high and low lines.
These two lines, if they appear, form an advanced breakout, but they do not rely on the confirmation of 10 candles like the red and blue boxes do. Instead, they follow the same modes that the rest of the levels use with one or two candles.
Note: For example, there might be a message that the pair is in a positive state according to the 30 level, but in reality, there is a decline. Yes, the function of the floating panel is to remind you that you are still above the 30 level, but this does not mean that the price cannot drop. Of course, you can easily distinguish the situation, as the advanced cloud will show you at that time a red and yellow cloud. Additionally, the revolutionary level lines will show you how they are being broken from above to below, and this in itself (“the cloud + the way the level lines appear + how the high is broken from above to below and the low from above to below, as shown in the image examples”) will be a motivator to open sell trades. However, as we said, our eyes remain on the high and low lines and the cloud’s shape. But when you decide to open a trade, you need to be more precise and careful in choosing the appropriate candles to enter.
Note 2:
Some lines may not appear even though the chart has broken a level, and the reason for this is that showing the line requires certain conditions. Perhaps the price movement and chart do not align with the conditions you have set for drawing the lines in the enhanced and sensitive modes. Therefore, it is not harmful to keep an eye on the chart and the essential levels in the lower section of the screen. There are examples where the chart touches those levels without them appearing on the main chart, due to a missing condition, for example.
Note 3:
I recommend the second indicator that I published two weeks ago https://www.mql5.com/en/market/product/124406, which is exceptional in every sense of the word and will have future updates. It is very unique in its transitions and precise fluctuations, and it could assist you in reading the scene.
Advice:
Avoid trading during major news events.
Avoid trading during major news events; there are dozens of trading opportunities with different pairs and with excellent results using these revolutionary levels and the cloud. Trading during news events is simply gambling with your money, even if you escape once or twice. We are not here to talk about any form of gambling or recklessness. We are now discussing scientific and mathematically discovered exceptional levels with these lines and clouds. As I mentioned earlier, these levels and lines, and their exceptional alignment with price movement, are akin to breaking the secrets of the RSI. I am still in the process of discovering other secrets for these levels and others in this indicator.
Honestly, before I conclude, and despite my years of experience in trading, the process felt like I was entering a vast ocean, with the sea to my right, the sea to my left, in front of me, and behind me. Truly, when I look at the chart now, as shown in the images, at least I know where I stand. I now understand what’s behind me, why the chart went up or down, and I also have over 80% confidence in knowing what’s ahead of me. These revolutionary levels and lines, along with the confirmation cloud, will completely change your perspective.
I wish you all success in your trades, and I welcome your friendship on my page on this site, as I might post updates with important explanations, and you can quickly check them out.
There will be a second part to explain some very important secrets and features.
Additionally, there will be significant upcoming updates to the indicator, perhaps involving the addition of new levels or side trend lines.