Example of a mean-reversion sell signal CAD/JPY 1-hour chart【RCI 3 lines + BODSOR】

RCI Three-LineandBODSORusage examples

One of the features of the three-line RCI (RCI9, RCI26, RCI52) is

“When all three RCIs are aligned in the same direction, the price movement in that direction tends to be larger.”

There is such a case.

If RCI26 and RCI52 are rising (falling) and RCI9 is falling (rising),
when RCI9 reverses,“the three RCIs align in the same direction”will occur.

Therefore, it is very important to sense when RCI9 will reverse.

(Case by case, but simply waiting for a confirmed reversal of RCI9 often leads to a significant lag.)


Thus, to detect as early as possible the timing when the momentum of RCI9’s rise (fall) weakens, BODSOR was developed.



The figure below is the 1-hour chart of CAD/JPY from March 26 to 29.

CAD/JPY 1-Hour

Upper section:BODSOR
Lower section: RCI Three-Line (Red: RCI9, Light blue: RCI26, Yellow: RCI52)

From the chart above, on March 27, the “RCI Three-Line + BODSOR”
reversal sell signal (yellow arrow) is lit.

Among the three RCIs, only RCI9 is clearly rising.
If RCI9 reverses downward, all three RCIs may align downward.
In other words, price may fall strongly.

In this kind of situation,BODSORsignals light up (yellow arrows).

Immediately after the BODSOR signal lights up, five bearish candles occur in a row. In this case,the signal tends to function well as a return-sell signal.Indicator that displays pullback buying and return-selling signals【BODSOR】Twitterhttps://twitter.com/RCIX3LineBloghttp://bodsor.blog.fc2.com/Investment Navigator+https://fx-on.com/navi/serial/?id=359YouTubehttps://www.youtube.com/channel/UCL-g5uAlesiWVJEDtWlFvGwUSD/JPY 1-HourCAD/JPY 1-Hour
the signal tends to function well as a return-sell signal.


Indicator that displays pullback buying and return-selling signals【BODSOR】


Twitter
https://twitter.com/RCIX3Line

Blog
http://bodsor.blog.fc2.com/

Investment Navigator+
https://fx-on.com/navi/serial/?id=359

YouTube
https://www.youtube.com/channel/UCL-g5uAlesiWVJEDtWlFvGw


USD/JPY 1-Hour



CAD/JPY 1-Hour