Here is the modification from BB-MFI/RSI from LazyBear. I add the period for the BB as told by John Bollinger in his book.
Base on his book, he suggest to try :
9p RSI with 40p BB and Stdv 2.0
14p RSI with 50p BB and Stdv 2.1
10p MFI with 40p BB and Stdv 2.0
The idea is to compare the short period in indicator with Long period of BB.
Base on his book, he suggest to try :
9p RSI with 40p BB and Stdv 2.0
14p RSI with 50p BB and Stdv 2.1
10p MFI with 40p BB and Stdv 2.0
The idea is to compare the short period in indicator with Long period of BB.
// // @author LazyBear // RSI/MFI with Bollinger Bands. Dynamic Oversold/Overbought levels, yayy! // I add the BB period setting as told by John Bollinger's Book. study(title = "BB% of MFI/RSI [Modified from LazyBear]", shorttitle="BB%MFI/RSI[LB]") source = hlc3 length = input(14, minval=1), mult = input(2.0, minval=0.001, maxval=50), bblength = input(50, minval=1, title="BB Period") DrawRSI_f=input(true, title="Draw RSI?", type=bool) DrawMFI_f=input(false, title="Draw MFI?", type=bool) HighlightBreaches=input(true, title="Highlight Oversold/Overbought?", type=bool) DrawMFI = (not DrawMFI_f) and (not DrawRSI_f) ? true : DrawMFI_f DrawRSI = (DrawMFI_f and DrawRSI_f) ? false : DrawRSI_f // RSI rsi_s = DrawRSI ? rsi(source, length) : na plot(DrawRSI ? rsi_s : na, color=maroon, linewidth=2) // MFI upper_s = DrawMFI ? sum(volume * (change(source) <= 0 ? 0 : source), length) : na lower_s = DrawMFI ? sum(volume * (change(source) >= 0 ? 0 : source), length) : na mf = DrawMFI ? rsi(upper_s, lower_s) : na plot(DrawMFI ? mf : na, color=green, linewidth=2) // Draw BB on indices bb_s = DrawRSI ? rsi_s : DrawMFI ? mf : na basis = sma(bb_s, length) dev = mult * stdev(bb_s, bblength) upper = basis + dev lower = basis - dev plot(basis, color=red) p1 = plot(upper, color=blue) p2 = plot(lower, color=blue) fill(p1,p2, blue) b_color = (bb_s > upper) ? red : (bb_s < lower) ? green : na bgcolor(HighlightBreaches ? b_color : na)