RSTL dpl AM - (Referense slow trend line - detrended price line) indicator built on the principle of searching for discrepancies between the current real price and the calculated trend value.
RSTL - a digital filter that calculates the reference line, the overcoming of which by the current price is considered a change in the long-term trend.
Indicator signals:
- Small red dot - the price continues to fall;
- Small blue dot - the price continues to rise;
- Big red dot - the price starts to fall;
- Big blue dot - the price starts to rise.
Application:
- The indicator is not redrawn on fully formed bars. At the same time, the values on the current bar, the formation of which is not completed, may change. Thus, the decision on the indicator signals should be made only on fully formed bars at the moment of the end of the formation of the last bar.
- The indicator is designed to identify a long-term trend. If the indicator signals are red, sell trades are allowed. If the indicator signals are blue, buy trades are allowed.
- When entering the market on a signal about a change in the current trend (large blue / red dot), it is reasonable to expect confirmation of the signal. The signal is confirmed when the price breaks the high/low of the bar on which the indicator signaled a change in the current trend or even the nearest extreme value from the highs/lows of several bars.
Custom Parameters:
- Price_Filter - price used to build a RSTL digital filter;
- Price_DP - the price against which the RSTL digital filter is compared.
More options for digital filters and the ability to select prices for their construction are provided by the following products:
