Relative Vigor Index Indicator Avaible In Metatrader 4
Relative Vigor Index code name of RVI. Developer of this indicator John Alhlers (John Ehlers), is this indicator within the momentum indicators and do justice to the Mouvements, is used to determine the overall trend, where the idea is if the general trend is upwards, the closure tired to be higher than the opening and vice versa in the case of trend bearish.
Rise in the index indicates a relative rise in prices, as in the case of the index, the falling prices will fall in relative terms.
http://image.prntscr.com/image/45b55...5a704b1b82.png
RVI index of the green line consists called the signal line and the last line of red as there is also a line called the zero line, on the contrary the index Astou Kestek that moves from zero level to 100 thus has areas of saturation specific, the RVI index which there is no fixed areas of the cursor moves through it.
Recall that a buy signal is generated when the cut line with a green highest red line indicates a buy signal, while a sell signal is generated when the green indicator goes red indicator down.
Use it
The relative activity index reflects the acceleration or deceleration movement of price change
(And in turn, it may be used to determine the pattern of divergence / convergence):
And in general,
Whenever the value of the index higher, the more the price rises more pronounced;
And whenever the lowest index value, the more the low price more obvious.
In conjunction with the signal line (in red)
http://image.prntscr.com/image/2d8d6...68f355c29b.png
And which is a moving average line for four periods and the relative activity (in green)
It is a convenient tool to identify potential points to break the dynamics prevailing price:
Cross the signal line from top to bottom, the index gives a signal to sell;
Crossed the signal line from the bottom up, the index gives a signal to buy.
http://image.prntscr.com/image/c19e2...0195936f84.png
http://image.prntscr.com/image/9dba9...f5511c6490.png
Calculation
VALUE1 = ((CLOSE - OPEN) + 2 * (CLOSE (1)) - OPEN (1)) + 2 * (CLOSE (2) - OPEN / 6
HIGH (2) - LOW (2)) + (HIGH (3) - LOW (3)) VALUE2 = ((HIGH - LOW) 6
NUM = SUM (VALUE1, N)
Dene = SUM (VALUE2, N)
RVI = NUM / dene
RVISig = (RVI + 2 * RVI (1) + 2 * RVI (2) + RVI (3)) / 6