RSI + Williams %R Double Cross Strategy Diagram
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Two oscillators have to agree on the very same candle. The diagram buys only when RSI drops through 30 while Williams %R drops through -80 at the same time, and sells only when RSI rises through 70 while Williams %R rises through -20. A reading that is simply sitting inside the zone is not enough: the previous candle must still have been outside it, which is why both oscillators are also kept one candle back.
Strategy Overview
- RSI 14 and Williams %R 14 are calculated on the same five-minute candles of one instrument.
- Previous-value blocks hold both oscillators one candle back, so a fresh break into the zone is told apart from a value that has been lying there for hours.
- Entries are taken from a flat position only, and the RSI midline at 50 is what brings the position back to flat.
Entry and Exit Rules
- Long entry: RSI is below the oversold level while it was at or above it on the previous candle, and Williams %R is below its oversold level while it was at or above it on the previous candle; the position is flat. One lot is bought at market.
- Short entry: RSI is above the overbought level while it was at or below it on the previous candle, and Williams %R is above its overbought level while it was at or below it on the previous candle; the position is flat. One lot is sold at market.
- Exit: A long is closed as soon as RSI climbs back above the midline of 50, a short as soon as RSI falls back below it; both exits are position-closing blocks, so each one only touches the side that is actually open.
Parameters
| Parameter | Default | Description |
|---|---|---|
| RSI Length | 14 | Averaging length of the Relative Strength Index. |
| RSI Oversold | 30 | Level RSI has to break down through for a long signal. |
| RSI Overbought | 70 | Level RSI has to break up through for a short signal. |
| Williams %R Length | 14 | Look-back length of Williams %R. |
| Williams %R Oversold | -80 | Level Williams %R has to break down through for a long signal; the indicator runs from -100 to 0. |
| Williams %R Overbought | -20 | Level Williams %R has to break up through for a short signal. |
| RSI Midline | 50 | Neutral RSI level at which an open position is given up. |
| Volume | 1 | Order volume, in lots. |
| Candles | 00:05:00 | Candle time frame the whole diagram works on. |
Diagram Details
- Each oscillator feeds a pair of comparisons, one for its current value and one for its previous value, so a break through a level is described without a crossing block, which would let the two breaks come from different candles.
- Each logical AND collects five flags: the two RSI comparisons, the two Williams %R comparisons and a flat position taken from the position block compared with zero.
- Both entry blocks open a position only when there is none, and take their volume from one shared constant.
- Two more comparisons watch RSI against its midline and drive the position-closing blocks, which is the only exit in the diagram.
Usage
Import the .json file into Designer, run it in the backtester on historical data, then adjust the parameters or the blocks themselves to fit your instrument before trading it live.