The 3 IFT based indicators in this chart are:
- Inverse Fisher on (IFTRSI)
- Inverse Fisher on (IFTMFI)
- Inverse Fisher on CyberCycle (IFTCC)
Suggested method to use any IFT indicator is to buy when the indicator crosses over –0.5 or crosses over +0.5 if it has not previously crossed over –0.5 and to sell short when the indicators crosses under +0.5 or crosses under –0.5 if it has not previously crossed under +0.5.
More info: http://www.mesasoftware.com/Papers/THE%2...
You can use these indicators by doing "Make it mine" (Click on "Share" to open the dialog box with this button).
Let me know what you think, would love to hear how these indicators are used and how effective these are for other instruments.
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.
// // @author LazyBear // If you use this code in its orignal/modified form, do drop me a note. // study("Inverse Fisher Transform RSI [LazyBear]", shorttitle="IFTRSI_LB") s=close length=input(14, "RSI length") lengthwma=input(9, title="Smoothing length") calc_ifish(series, lengthwma) => v1=0.1*(series-50) v2=wma(v1,lengthwma) ifish=(exp(2*v2)-1)/(exp(2*v2)+1) ifish plot(calc_ifish(rsi(s, length), lengthwma), color=orange, linewidth=2) hline(0.5, color=red) hline(-0.5, color=green)