About the RSX RSI Bar Chart Indicator
The RSX RSI Bar Chart Forex Indicator for MT4 is a momentum-based oscillator that converts traditional RSI calculations into an easy-to-read bar chart.
Instead of a single fluctuating line, the indicator displays RSI strength as vertical bars in a separate window below the price chart.
This presentation makes it easier to judge momentum shifts, overbought conditions, and oversold reactions at a glance.
The indicator uses the classic RSI extreme levels at 20 and 80, which helps traders focus on stronger reversal zones rather than minor pullbacks.
RSX RSI Bar Chart is designed for scalpers and short-term traders who want fast feedback on momentum while keeping their main chart uncluttered.
Free Download
Download the “rsx-rsi-bar-chart-indicator.ex4” MT4 indicator
Key Features
- Transforms RSI values into a bar chart format.
- Displays momentum strength in a bottom chart window.
- Uses 20 and 80 extreme levels for trade filtering.
- Helps identify short-term momentum reversals.
Indicator Chart
The RSX RSI Bar Chart indicator is plotted as a histogram-style bar chart below the price chart.
Bars rising above or falling below the extreme levels highlight potential buy and sell zones, while bar height reflects momentum intensity.
Guide to Trade with RSX RSI Bar Chart Indicator
Buy Rules
- Wait for the RSI bar chart to move below the 20 level.
- Enter a buy trade when the bars turn back above 20.
- Confirm that the higher timeframe trend is bullish.
Sell Rules
- Wait for the RSI bar chart to move above the 80 level.
- Enter a sell trade when the bars turn back below 80.
- Confirm that the higher timeframe trend is bearish.
Stop Loss
- Set stop loss 1 to 3 pips below recent support for buy trades.
- Set stop loss 1 to 3 pips above recent resistance for sell trades.
- Adjust stop placement based on market volatility.
Take Profit
- Target a fixed risk-to-reward ratio of 1.3.
- Close the trade when an opposite momentum signal appears.
- Use partial exits when trading strong trends.
RSX RSI Bar Chart + Zero Lag Moving Average Forex Strategy
The RSX RSI Bar Chart + Zero Lag Moving Average MT4 Strategy combines momentum precision with trend clarity.
It’s designed for day traders who want fast, accurate entries during active market hours.
The RSX RSI Bar Chart Indicator for MT4 provides clear momentum reversals based on RSI dynamics.
The Zero Lag Moving Average Indicator for MT4 helps define the short-term market trend without delay.
By merging both, traders can filter out noise and identify the most reliable buy and sell setups in real time.
This setup works best on M15 to H1 charts for intraday and short-term swing trading.
It suits active traders who like structured systems that provide visual confirmation before entry.
The strategy can be used on all major Forex pairs, but performs best during high-volume sessions like London and New York.
Buy Entry Rules
- Wait until the Zero Lag Moving Average line is sloping upward and the price is trading above it. This confirms a bullish trend.
- Watch the RSX RSI Bar Chart. A new buy signal appears when the bars move back above the 20 level after being below it.
- Enter a buy position on the next candle once both conditions align.
- Set a stop loss just below the most recent swing low or 25 pips, whichever is closer.
- Take profit near the next resistance zone or after 50–80 pips on major pairs.
Sell Entry Rules
- Wait until the Zero Lag Moving Average line is sloping downward and the price is trading below it. This confirms a bearish trend.
- Watch the RSX RSI Bar Chart. A new sell signal appears when the bars move back below the 80 level after being above it.
- Enter a sell position on the next candle once both conditions align.
- Set a stop loss just above the most recent swing high or 25 pips, whichever is closer.
- Take profit near the next support zone or after 50–80 pips on major pairs.
Advantages
- The Zero Lag Moving Average reduces delay, helping traders catch early parts of new trends.
- The RSX RSI Bar Chart clearly shows momentum turning points for accurate timing.
- Works well on fast-moving pairs and during volatile sessions.
- Simple visual confirmation keeps entries clear and rule-based.
- Adaptable to multiple time frames for different trading styles.
Drawbacks
- Performance drops in sideways or choppy markets.
- False signals may occur when the price hovers around the moving average.
- Requires discipline to avoid overtrading during low volatility hours.
- Needs periodic adjustment of stop loss and take profit levels for different pairs.
Case Study 1 – EURUSD M15
During the London session, EURUSD was trading above the Zero Lag Moving Average, indicating an uptrend.
At 09:30, the RSX RSI Bar Chart crossed back above the 20 level from below, signaling renewed momentum.
A buy trade was opened at 1.0870 with a 25-pip stop loss and 70-pip target.
The trade reached the target within four hours as the price climbed steadily, yielding +70 pips.
The moving average maintained an upward slope throughout, confirming trend strength.
Case Study 2 – GBPUSD M30
Later in the New York session, GBPUSD was trending lower, with the price moving below the Zero Lag Moving Average.
At 14:15, the RSX RSI Bar Chart fell back under the 80 level after a small correction, showing renewed bearish momentum.
A short position was opened at 1.2840 with a 30-pip stop and 60-pip target.
The pair dropped to 1.2780 over the next three hours, reaching the target easily.
The alignment of momentum and trend kept the setup clean and low risk.
Strategy Tips
- Use the RSX RSI Bar Chart for timing and the Zero Lag Moving Average for confirmation.
- Focus on London and New York sessions where movement is strongest.
- Always check for nearby support and resistance levels before entering a trade.
- Avoid trading during overlapping signals or when the price consolidates around the moving average.
- Consider partial profit-taking at 40–50 pips and move the stop loss to breakeven to protect gains.
Download Now
Download the “rsx-rsi-bar-chart-indicator.ex4” MT4 indicator
FAQ
How is the RSX RSI Bar Chart different from the standard RSI?
It presents RSI data as bars instead of a line, making momentum shifts easier to spot.
Is the indicator better for reversals or trend trading?
It works best for momentum pullbacks and short-term reversals within a broader trend.
Can this indicator be used for scalping?
Yes, it is commonly used on lower timeframes due to its fast response to momentum changes.
Should this indicator be combined with trend analysis?
Yes, filtering signals with trend direction improves consistency and trade quality.
Summary
The RSX RSI Bar Chart Forex Indicator for MT4 offers a practical way to trade momentum using a familiar RSI concept presented in a more intuitive format.
Its bar chart display makes it easier to judge strength, extremes, and timing without overloading the price chart.
With simple rules, flexible usage, and compatibility across all timeframes, this indicator is a useful addition for traders who focus on momentum-based entries and disciplined risk management.
