Ehlers Laguerre RSI Gold Trading Analysis and Ehlers RSI Gold Trading Signals

Developed by John Ehlers.

Originally used to trade stocks and commodities.

Ehlers RSI uses a 4-Element Laguerre filter to provide a "time distort" such that the low frequency components/ xauusd price spikes are delayed much more than the higher frequency components. This gold indicator enables much smoother filters to be created using short amounts of data.

The Ehlers RSI uses a scale of 0- 100, the center line is used to generate gold signals & the 80/20 areas represents overbought-oversold levels.

The only parameter which can be optimized for this technical indicator is damping gamma factor, usually 0.5 to 0.85, to best suit your trading method.

Ehlers Laguerre RSI

XAUUSD Trading Analysis & How to Generate Trading Signals

This implementation of the Laguerre RSI uses scale of 0-100.

XAUUSD Trading Crossover Gold Trading Signals

Buy XAUUSD Signal- A buy signal is generated when the Ehlers RSI crosses above 50 level Mark.

Sell Gold Trading Signal- A sell signal is generated when Ehlers RSI crosses below 50 level Mark.

Overbought/Oversold Levels on XAUUSD Technical Indicator

Overbought/Oversold Levels on Gold Technical Indicator

A typical use of the Laguerre RSI is to buy after it crosses back above the 20% level and sell after it crosses back below the 80% level.