RSI Multi Levels Kiawosch 7-14-42 Indicator MT4 - [TradingFinder]

The RSI Multi Levels Kiawosch 7-14-42 Indicatoris designed based on analyzing RSI behavior within defined momentum zones.

In this trading tool, instead of relying on classic overbought and oversold levels, RSI is divided into three structural zones:

• Low Potential Zone
• Mid Potential Zone
• High Potential Zone

The primary focus of this indicator is on short-term RSI (such as RSI 7), which reflects momentum changes more rapidly, while longer-period RSI values act as trend filters and align overall market structure.

RSI Multi Levels kiawosch 7-14-42 Indicator Specifications

General specifications of the RSI Multi Levels Kiawosch  7-14-42 Indicator are presented in the table below:

RSI Multi Levels kiawosch 7-14-42 Indicator at a Glance

The RSI Multi Levels Kiawosch 7-14-42 Indicator analyzes price momentum by synchronizing three Relative Strength Index (RSI) periods: 7, 14, and 42.

This structure presents short-term, mid-term, and structural market momentum within a single framework, shifting analytical focus from traditional numeric levels to behavioral zones.

Within this system, each RSI period plays a distinct role:

• RSI period 7 acts as the primary reactive element, rapidly reflecting short-term buying and selling pressure;
• RSI period 14 serves as a mid-term momentum filter, defining the quality and sustainability of the current price move;
• RSI period 42 represents the dominant structural momentum, determining price position within the broader market cycle.

Indicator Behavior in a Bullish Trend

In the chart below, a buy signal is generated when RSI 7 enters the High Potential Zone on the bullish side while price simultaneously forms a new high relative to the previous market structure.

This alignment signals active momentum and the market’s ability to continue higher following a limited correction. After RSI 7 enters the High Potential Zone, price typically undergoes a short-term pullback, with RSI rotating back toward the Mid Potential Zone.

If the structure of higher highs and higher lows remains intact and RSI 7 rotates upward again from the mid zone, bullish trend continuation becomes highly probable.

Note: RSI 14 must remain above the mid zone to confirm momentum quality. Alignment of RSI 42 with price direction further strengthens the structural validity of the buy signal and helps prevent premature entries.

Indicator Behavior in a Bearish Trend

In a bearish scenario, a sell signal is activated when RSI 7 enters the High Potential Zone on the bearish side and price simultaneously prints a new low within the market structure. This condition reflects active selling pressure and the market’s ability to continue declining after a limited pullback.

RSI 7 typically exits the High Potential Zone and moves toward the Mid Potential Zone. If price fails to reclaim the prior high or low and RSI rotates downward again, continuation of the bearish move becomes the dominant scenario.

RSI Multi Levels 7-14-42 Kiawosch Indicator Settings

The image below displays the settings panel of the RSI Multi Levels 7-14-42 Kiawosch indicator on the MetaTrader 4 platform:

• Short term RSI period: Short range RSI calculation length
• Price type used for short term RSI: Applied price source for short range RSI
• Mid term RSI period: Medium horizon RSI length
• Price type used for mid term RSI: Price basis for mid range RSI
• Long term RSI period: Extended RSI calculation period
• Price type used for long term RSI: Price input for long range RSI
• Show Low Potential zone: Display low momentum potential area
• Low Potential zone color: Color setting for low potential area
• Show Mid Potential zone: Enable medium momentum potential area
• Mid Potential zone color: Color setting for mid potential area
• Show High Potential zone: Display high momentum potential area
• High Potential zone color: Color setting for high potential area
• Zone transparency percentage (0-100): Opacity level of momentum zones (0–100)
• textColor: Information text display color
• BoxPosition: On chart position of the information panel

Conclusion

The RSI Multi Levels Kiawosch 7-14-42 Indicator provides a precise framework for analyzing price movement by focusing on momentum behavior within structural zones.

By combining RSI periods 7, 14, and 42, this trading tool separates reactive, mid-term, and structural momentum, moving RSI interpretation beyond purely numerical readings.

The positioning of RSI 7 within high-potential zones forms the core of buy and sell signal generation, while alignment of RSI 14 and RSI 42 validates momentum strength across higher timeframes.