McGinley Dynamic RSI Script

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-- SPDX-License-Identifier: MIT
-- IQOptionWiki QCS Library
-- IQOW McGinley Dynamic RSI v1.0.0
--
-- The McGinley Dynamic is a moving average that adjusts its speed to how
-- far price is from it, so it tracks price with less lag and fewer whipsaws.
-- A close crossing it, with RSI on the same side of 50, marks a possible turn.
-- McGinley Dynamic uses the same formula as the official IQ Option indicator.
--
-- HIGHER: the close crosses above McGinley Dynamic(14) and RSI(14) is above 50.
-- LOWER:  the close crosses below McGinley Dynamic(14) and RSI(14) is below 50.
--
-- Markers use the previous completed candle: they appear after the next candle
-- opens and are shifted back one bar onto the candle that qualified.
-- Educational chart tool only. It does not place trades, choose an expiry,
-- predict outcomes, or guarantee results. Test on a Practice balance first.

instrument {
    name = "IQOW McGinley Dynamic RSI",
    short_name = "IQOW MG RSI",
    overlay = true
}

input_group {
    "1. McGinley Dynamic",
    mg_period = input (14, "McGinley period", input.integer, 2, 200)
}

input_group {
    "2. RSI filter",
    rsi_period = input (14, "RSI period", input.integer, 2, 100),
    rsi_middle = input (50, "RSI middle level", input.double, 40, 60, 1, false)
}

input_group {
    "Display and advice",
    lines_visible = input { default = true, type = input.plot_visibility },
    signals_visible = input { default = true, type = input.plot_visibility },
    advice_enabled = input { default = false, name = "Enable platform advice", type = input.boolean }
}

input_group {
    "Colors",
    mg_color = input { default = "#56CEFF", type = input.color },
    line_width = input { default = 2, type = input.line_width },
    higher_color = input { default = "#25E154", type = input.color },
    lower_color = input { default = "#FF6C58", type = input.color },
    signal_text_color = input { default = "#FFFFFF", type = input.color }
}

-- McGinley Dynamic: previous value plus a price-distance adjusted step.
-- The first bar is seeded with an EMA, as in the official indicator.
mg_line = make_series ()
if na (mg_line [1]) then
    mg_line:set (ema (close, mg_period))
else
    mg_line:set (mg_line [1] + (close - mg_line [1]) / (mg_period * (close / max (mg_line [1], 1e-10)) ^ 4))
end

rsi_value = rsi (close, rsi_period)

-- Current-bar scalars for the Lua rule logic.
local close_now = get_value (close, nil)
local close_before = get_value (close [1], nil)
local mg_now = get_value (mg_line, nil)
local mg_before = get_value (mg_line [1], nil)
local rsi_now = get_value (rsi_value, nil)

local data_is_ready =
    close_now ~= nil and
    close_before ~= nil and
    mg_now ~= nil and
    mg_before ~= nil and
    rsi_now ~= nil and
    get_value (rsi_value [rsi_period], nil) ~= nil

-- Event: close crosses the McGinley line on this candle with RSI on the same side of 50.
higher_setup = conditional (
    data_is_ready and close_before <= mg_before and close_now > mg_now and rsi_now > rsi_middle
)
lower_setup = conditional (
    data_is_ready and close_before >= mg_before and close_now < mg_now and rsi_now < rsi_middle
)

-- Confirm only a new setup on the previous completed candle.
confirmed_higher = conditional (
    get_value (higher_setup [1], false) and
    not get_value (higher_setup [2], false)
)

confirmed_lower = conditional (
    get_value (lower_setup [1], false) and
    not get_value (lower_setup [2], false)
)

if lines_visible then
    plot (mg_line, "McGinley Dynamic", mg_color, line_width)
end

if signals_visible then
    plot_shape (
        confirmed_higher,
        "MG RSI HIGHER",
        shape_style.triangleup,
        shape_size.small,
        higher_color,
        shape_location.belowbar,
        -1,
        "HIGHER",
        signal_text_color
    )

    plot_shape (
        confirmed_lower,
        "MG RSI LOWER",
        shape_style.triangledown,
        shape_size.small,
        lower_color,
        shape_location.abovebar,
        -1,
        "LOWER",
        signal_text_color
    )
end

-- QCS advice is a platform notification state only; it does not place trades.
if advice_enabled and
    get_value (confirmed_higher, false) and
    not get_value (confirmed_lower, false) then
    advise (advice.buy)
elseif advice_enabled and
    get_value (confirmed_lower, false) and
    not get_value (confirmed_higher, false) then
    advise (advice.sell)
else
    advise (advice.neutral)
end