ilmscore | Prediction Details
"we're going to start off with conditions we are on a four hour chart as i said we're going to incorporate multiple time frames we're going to be looking at the four hour chart and you can use any time frame for this it does not matter if it's the four hour one hour 15 minute or five minute you're always just going to drop down one time frame so i'm going from the four hour to the one hour if you were looking at the one hour for this condition you would go down to the 15 minute for your entry if you're looking at the 15 minute you go down to the five minute so on and so forth so on the four hour chart what we're looking for is the rsi indicator to go below 30. or in other words the rsi indicator to go to oversold so we want to see when that happens let's go ahead and take a look here it happens right here on the very next candle as you can see at this point the rsi has now went below 30. that is our first condition the next thing we want to do is drop down to the one hour chart so after we see the four hour rsi go oversold we're gonna drop down to the one-hour chart here on the one-hour chart after seeing our higher time frame go oversold we want to see a chart pattern and if you don't have clear definitions for chart patterns and if you don't know how to identify them i will leave a video right up here in the top right hand corner i did about a month ago that talks about double bottoms double tops head and shoulder and inverse head and shoulder patterns which are the chart patterns we're going to be using for this strategy so if you're unfamiliar with them just click that link go to that video and check it out so now that we know we're oversold on our four-hour chart again we're just looking for price to create a double bottom here we have our first bottom right now the way we're looking at this is price has pulled down created one bottom and a neckline next up for a double bottom we want to see price come re-test this line right here that means we have a valid double bottom let's see what happens with price eventually we come down and retest this actual spot so this is condition number two for our chart we need to see oversold for condition number one condition number two we go down to the one hour chart and look for a price pattern or a chart pattern in this case a double bottom now what is going to be our entry these are all the conditions we need met it's what i just described now we're moving from conditions to entries what's the entry going to be the entry is going to be buying pressure for buying pressure i need a convincing green candle so let's keep pushing forward right here we have a doji right here we have a small green candle doesn't look quite convincing yet right so we need to see a bigger green candle so that we know it's convincing enough to show us buying pressure this would be a great example of this and if you want to set a rule for this pick a candle that closes above the previous candle that would be a convincing green candle right so for our entry we have a convincing green candle for our conditions we have four hour oversold we have one hour double bottom now we have our entry what do we do after we see our entry we go ahead and place our order it would look something like this buy at the close of that candle or the open of the next scandal stop loss always for me goes below my double bottom the lowest low of that double bottom targets you can go back up to around previous structure right here so with that being the case now we have our trade setup and we have actually gotten into the market we've pressed the buy button and let's see how this would have played out as you can see quite easily pushing up to hit targets"
By The Trading Channel (The Trading Channel) | September 30, 2021 | Pending
From video
The Only RSI Indicator Trading Video You Will Ever Need... (Beginners Guide) 00:09:19 - 00:12:28
Interpreted Prediction
A bullish reversal strategy involves seeing the RSI go below 30 on the 4-hour chart, then looking for a double bottom chart pattern on the 1-hour chart. Entry is confirmed by a convincing green candle, with a stop loss below the double bottom and targets at previous structure levels.

Prediction Details

Topic
RSI Strategy - Reversals

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