The FX5 Self Adjusting RSI for MT4 is an oversold/overbought technical indicator that adjusts itself to current market conditions.
It reduces lag significantly!
The indicator consists of two trigger lines (red and green) and a signal line (blue).
- A buy signal will occur whenever the blue signal line crosses back above the green trigger line.
- A sell signal will occur whenever the blue signal line crosses back below the red trigger line.
Typically, RSI-type technical indicators work great in sideways markets but will deliver poor results in trending markets.
Therefore, utilize the RSI indicator together with a trend indicator and always trade the RSI signal in the direction of the overall trend.
Avoid counter-trend trading.
Feel free to experiment with the different indicators’ input settings to suit your needs and preferences.
Free Download
Download the “FX5_SelfAdjustingRSI_v1_0.mq4” MT4 indicator
Indicator Chart (EUR/USD H1)
The EUR/USD H1 chart below displays the RSI Colored Signals Forex indicator in action.
Basic Trading Signals
Signals from the FX5 Self Adjusting RSI Forex indicator are easy to interpret and goes as follows:
Buy Signal: Open a buy market order as soon as the blue RSI signal line crosses the green line upwards (oversold) and the overall trend is upwards.
Place a stop loss below support or use your own preferred stop loss placement method.
Sell Signal: Open a sell market order as soon as the blue RSI signal line crosses the red line downwards (overbought) and the overall trend is downwards.
Place a stop loss above resistance or use your own preferred stop loss placement method.
FX5 RSI + Gann Trend Oscillator MTF Scalping Strategy for MT4
This scalping system combines the power of the FX5 Self Adjusting RSI Indicator for MT and the Gann Trend Oscillator MTF Indicator for MT4.
It is designed for short-term traders who want clear, rule-based entries and exits without complex analysis.
By blending RSI’s adaptive momentum signals with Gann’s multi-timeframe trend confirmation, traders can identify high-probability scalping opportunities across volatile forex pairs such as EURUSD, GBPUSD, or XAUUSD.
The strategy works best on the M5 or M15 charts, where quick momentum changes can be captured efficiently.
The FX5 Self Adjusting RSI dynamically adapts to changing market volatility, making it a reliable oscillator for catching reversals.
When its blue signal line crosses back above the green trigger line, a short-term bullish momentum shift occurs.
The opposite happens when it crosses below the red trigger line.
The Gann Trend Oscillator MTF complements this perfectly: its blue bars show bullish conditions and violet bars represent bearish pressure.
Combining these two signals allows scalpers to filter out false entries and stay aligned with the underlying market flow.
Buy Entry Rules
- Wait for the FX5 Self Adjusting RSI blue signal line to cross back above the green trigger line.
- Confirm that the Gann Trend Oscillator MTF is showing blue bars, indicating a bullish trend.
- Enter a buy trade at the close of the candle that confirms both conditions.
- Set your stop loss just below the recent swing low or 10–15 pips below entry on lower timeframes.
- Take profit when the RSI line flattens or when the Gann Oscillator turns violet.
Sell Entry Rules
- Wait for the FX5 Self Adjusting RSI blue signal line to cross back below the red trigger line.
- Confirm that the Gann Trend Oscillator MTF is showing violet bars, indicating a bearish trend.
- Enter a sell trade at the close of the confirming candle.
- Set your stop loss just above the recent swing high or 10–15 pips above the entry on lower timeframes.
- Take profit when the RSI line turns flat or when Gann bars switch to blue.
Advantages
- Combines momentum and trend confirmation for stronger entries.
- Works well in active trading sessions with clear direction.
- Simple rules make it easy for beginners to follow.
- Adjusts naturally to different market conditions due to adaptive RSI.
- Low indicator lag for fast reaction to trend shifts.
Drawbacks
- Frequent small trades can be affected by spread and slippage.
- Performance may vary across different brokers and volatility levels.
Case Study 1: EURUSD M5 Scalping Session
During the London session, EURUSD began consolidating before a breakout. The FX5 Self Adjusting RSI gave a buy signal as the blue line crossed above the green trigger.
Simultaneously, the Gann Trend Oscillator MTF turned blue, confirming bullish momentum.
A buy trade was opened at 1.0870 with a stop loss 12 pips below.
Within 40 minutes, the price climbed steadily, hitting 1.0902 for a 32-pip gain.
This setup demonstrated how aligning both indicators reduces noise and strengthens entry confidence.
Case Study 2: GBPUSD Quick Drop Reversal
Later in the New York session, GBPUSD experienced a sharp pullback from intraday highs.
The RSI’s blue line crossed below the red trigger line while the Gann bars flipped violet.
A sell trade was placed at 1.2680 with a 15-pip stop.
The pair continued falling for the next hour, reaching 1.2620 for a 40-pip profit.
Strategy Tips
- Use a fixed risk per trade (1–2%) to protect against rapid reversals.
- Consider exiting partially once the price moves 20–30 pips in your favor to lock in profits.
- Backtest across multiple pairs to understand performance under different volatility profiles.
This FX5 RSI + Gann Trend Oscillator system provides fast-paced traders with a clean structure for momentum scalping.
When both indicators line up, price often moves quickly in the expected direction, allowing for short but consistent
trades.
Download Now
Download the “FX5_SelfAdjustingRSI_v1_0.mq4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart window indicator
Customization options: Variable (RSI period, deviation, MA method)Width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, Daily, Weekly, Monthly
Type: RSI
