RSI Stochastic EMA200 Script

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-- SPDX-License-Identifier: MIT
-- IQOptionWiki QCS Library
-- IQOW RSI Stochastic EMA200 v1.0.1
--
-- Combines three tools as in the related article: the EMA 200 as a trend
-- filter, RSI (14) for the side of 50, and the Stochastic (14, 3, 3) for the
-- entry timing. The Stochastic cross must start from the oversold or overbought
-- zone, so it marks the end of a pullback in the direction of the trend.
--
-- RSI and the Stochastic follow IQ Option's built-in indicators. RSI uses the
-- close with an exponential average of gains and losses (alpha 2 / (period +
-- 1)); the Stochastic compares the close with the highest high and the lowest
-- low of the %K period. Version 1.0.1 (9 October 2026) changed both from
-- Wilder smoothing and highest/lowest close; the inputs, periods and levels
-- are unchanged.
--
-- HIGHER: close is above EMA 200, RSI is above 50, and %K crosses above %D
--         after %K was at or below 20 on the previous candle.
-- LOWER:  close is below EMA 200, RSI is below 50, and %K crosses below %D
--         after %K was at or above 80 on the previous candle.
--
-- 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 RSI Stochastic EMA200",
    short_name = "IQOW RSI STO",
    overlay = true
}

input_group {
    "1. Trend filter and RSI",
    ema_period = input (200, "EMA period", input.integer, 10, 400),
    rsi_period = input (14, "RSI period", input.integer, 2, 100),
    rsi_midline = input (50, "RSI midline", input.double, 30, 70, 1, false)
}

input_group {
    "2. Stochastic",
    k_period = input (14, "%K period", input.integer, 2, 100),
    k_smoothing = input (3, "%K smoothing", input.integer, 1, 20),
    d_period = input (3, "%D period", input.integer, 1, 20),
    oversold_level = input (20, "Oversold level", input.double, 1, 45, 1, false),
    overbought_level = input (80, "Overbought level", input.double, 55, 99, 1, false)
}

input_group {
    "Display and advice",
    ema_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",
    ema_color = input { default = "#FFD166", type = input.color },
    ema_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 }
}

trend_ema = ema (close, ema_period)

-- RSI as IQ Option's built-in RSI draws it: the average gain and the average
-- loss are exponential averages (alpha = 2 / (period + 1)), not Wilder's
-- smoothing (alpha = 1 / period). It stays empty until both averages exist and
-- is 50 when price did not move at all.
rsi_change = close - close [1]
rsi_gain = ema (max (rsi_change, 0), rsi_period)
rsi_loss = ema (max (-rsi_change, 0), rsi_period)
rsi_total = rsi_gain + rsi_loss
rsi_value = iff (rsi_total > 0, 100 * rsi_gain / rsi_total, rsi_total + 50)

-- Stochastic as IQ Option's built-in oscillator draws it: the close against the
-- highest high and lowest low of the %K period (not the highest and lowest
-- close), 50 when that range is zero. %K is that value smoothed with an SMA and
-- multiplied by 100; %D is an SMA of %K.
stoch_low = lowest (low, k_period)
stoch_range = highest (high, k_period) - stoch_low
stoch_raw = iff (stoch_range > 0, (close - stoch_low) / stoch_range, stoch_range + 0.5)
stoch_k = sma (stoch_raw, k_smoothing) * 100
stoch_d = sma (stoch_k, d_period)

local ema_now = get_value (trend_ema, nil)
local rsi_now = get_value (rsi_value, nil)
local k_now = get_value (stoch_k, nil)
local d_now = get_value (stoch_d, nil)
local k_previous = get_value (stoch_k [1], nil)
local d_previous = get_value (stoch_d [1], nil)
local close_now = get_value (close, nil)

local levels_are_valid = oversold_level < 50 and overbought_level > 50

local data_is_ready =
    levels_are_valid and
    get_value (close [ema_period], nil) ~= nil and
    ema_now ~= nil and
    rsi_now ~= nil and
    k_now ~= nil and
    d_now ~= nil and
    k_previous ~= nil and
    d_previous ~= nil and
    close_now ~= nil

-- Event: %K crosses %D on this candle, starting from the extreme zone.
local cross_up_from_oversold =
    data_is_ready and k_previous <= d_previous and k_now > d_now and k_previous <= oversold_level
local cross_down_from_overbought =
    data_is_ready and k_previous >= d_previous and k_now < d_now and k_previous >= overbought_level

higher_setup = conditional (
    cross_up_from_oversold and close_now > ema_now and rsi_now > rsi_midline
)

lower_setup = conditional (
    cross_down_from_overbought and close_now < ema_now and rsi_now < rsi_midline
)

-- 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 ema_visible then
    plot (trend_ema, "EMA 200", ema_color, ema_width)
end

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

    plot_shape (
        confirmed_lower,
        "RSI STO 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