stelaraX - RSI Bollinger

stelaraX – RSI Bollinger

stelaraX – RSI Bollinger is a momentum and volatility indicator designed to apply Bollinger Bands directly to RSI values. This creates a dynamic RSI envelope that adapts to changing momentum volatility and helps identify statistically stretched RSI conditions beyond fixed overbought/oversold levels.

This indicator is part of the stelaraX ecosystem, focused on clean technical analysis and AI-supported chart evaluation
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Core logic

The script calculates a standard RSI and then builds Bollinger Bands around the RSI using a moving average basis and a standard deviation envelope. Signals are generated when RSI crosses back through the outer band levels.

Key principles:

* RSI measures momentum from the selected price source
* a Bollinger basis is calculated as an SMA of RSI over the BB period
* upper and lower bands are derived from RSI standard deviation and a multiplier
* the band width expands and contracts with RSI volatility
* a long signal triggers when RSI crosses above the lower band
* a short signal triggers when RSI crosses below the upper band

This approach adapts momentum thresholds dynamically, making it useful for identifying RSI extremes that are relative to recent conditions.

Visualization

The script plots:

* the RSI line in a separate indicator pane
* the Bollinger basis line on RSI
* upper and lower Bollinger Bands around RSI
* a filled band zone for quick envelope visibility
* classic RSI reference levels at 70, 50, and 30
* triangle markers for long and short band-cross signals
* alert conditions for both signal types

This layout makes RSI volatility expansion, contraction, and band breaks easy to interpret.

Use case

This indicator is intended for:

* identifying dynamic overbought and oversold RSI conditions
* spotting momentum mean-reversion opportunities
* detecting momentum volatility expansion phases
* filtering entries using RSI envelope context
* combining with trend filters and AI-assisted chart evaluation

It works well in ranging markets and as a pullback tool in trending environments when used with higher-timeframe confirmation.

Disclaimer

This indicator is provided for educational and technical analysis purposes only and does not constitute financial advice or trading recommendations. All trading decisions and risk management remain the responsibility of the user.