[dpaterso]

Hello,

Well: the only way I think you'd be able to do this is to 'reverse engineer' the RSI equation to find out 'what price needs to be in order for RSI to have a value of 50'. That said: I don't think it's going to be possible given the fact that RSI uses Wilder's 'smoothed' moving average i.e. it's not a 'straight line equation' (for want of a better expression). In other words: if the price movement of the CURRENT bar does not 'cause' RSI to reach 50 then you'd have to recalculate your 'reverse engineered RSI' again (and so on and so forth) in which case you may JUST as well sit and watch the chart!!!

In my opinion you only have two choices really:

1 - Trade longer timeframes (although even this is probably not going to help because RSI may indeed reach 50 at some point during a period and then 'back off' in which case you would have missed your TP ANYWAY

2 - Get someone to 'code' an indicator (modify RSI) so that it will send you a signal when RSI reaches 50. If you're using MT4 then it SHOULD be possible to 'code' an EA that will place a market order to close your current position when RSI reaches 50.

By the way (to anyone still following this thread):

I'm still 'at it' OF COURSE!!! As agreed with my investors I'll only be reporting results monthly and no longer weekly. At first I thought that reporting weekly was a 'good thing' for all concerned but it has resulted in my taking 'unreasonsable risks' toward the end of every week if I've felt that my results for the week are 'poor' (no pun intended). This has, on more than one occasion, resulted in my trading high risk (high paying) instruments that, given the account balance, I have 'no business' trading (and, of course, thanks to 'Murphy and his law', these trades, almost always, have 'turned on me').

And if I may give some VERY good advice: 'get a hold of' a book entitled 'Long-Term Secrets To Short-Term Trading' by Larry Williams BEFORE YOU PLACE ANOTHER ORDER (assuming of course you're having a 'hard time' like me BUT EVEN IF YOU'RE DOING WELL I believe it has merit)!!! Over the years I've gotten so 'tired' of the 'same old tired takes' on the 'psychology of trading'. This book, however, 'tells it like it is' and I've found it to be the MOST worthwhile 'read' on this subject i.e. better than any OTHER 'take' on the psychology of trading that I've read (no offense Mr Carter and Mr Bill Williams)!!! There are various trading systems detailed in this book but I'll not be trading them IRONICALLY because in this book there is an entire chapter 'dedicated' to someone like me i.e. a 'technician' that spends HIS LIFE developing a trading system, does one or two GOOD trades with it, and then is 'off' to 'tinker' to try to improve THE VERY SAME TRADING SYSTEM that has JUST MADE MONEY!!! LOL!!! THIS 'trap' I've been falling into ALL my 'trading life' but, thank goodness, this book 'stopped me dead in my tracks'!!! That said: Larry Williams is a 'legendary trader' and the systems in this book look quite exciting. 'ONE DAY WHEN I'M BIG' I'll 'give them a shot'!!!

(There is no 'promotional code' offered as with 'New Concepts In Technical Trading Systems' and I'm not involved in any way in the marketing and sales of this book i.e. it was just a book that I 'came across' WHILE LOOKING FOR A 'TWEAK' TO A TRADING SYSTEM THAT WORKS FOR ME)!!! LOL!!!

Regards,

Dale. (forexbrokersonline.net).