Bollinger Bands RSI Indicator: Bands On The Oscillator

Written by Dominic Walsh · Published 29 May 2026 · Last updated 26 Aug 2026

The bollinger bands rsi indicator moves the bands off price and onto the oscillator. A 14-bar RSI runs in the pane, and a 20-bar band wraps around the reading itself. Fixed levels at 70 and 30 never adapt. A band built from the RSI does.

This build ships as a compiled .ex4 for MT4 and .ex5 for MT5; the screenshots below come from EURUSD H1.

Platforms	MT4 (.ex4) + MT5 (.ex5)
Chart window	Separate window (levels 30 / 50 / 70)
Plots	3: RSI, RSI BB Up, RSI BB Lo
Alerts	popup, push notification, email, sound
Inputs	9

What the Bollinger Bands RSI Indicator draws on the chart

RSI is the medium purple line, bounded at 0 and 100 as usual.

RSI BB Up is the medium sea green line above it.

RSI BB Lo is the tomato line below.

Reference lines sit at 30, 50 and 70 for comparison with the moving band.

• RSI: line, medium purple, width 2
• RSI BB Up: line, medium sea green, width 1
• RSI BB Lo: line, tomato, width 1

How the Bollinger Bands RSI Indicator calculates its values

Taking the RSI first

iRSI supplies the reading at `RsiPeriod` `14` on the close. The value goes into the plotted buffer and into a working series the band step reads back. Everything after this point treats RSI as if it were the price.

Wrapping a band around it

mean takes a simple average of the last `BbPeriod` `20` RSI values. sd takes their standard deviation. BbUp then adds `BbMult` `2.0` times sd to the mean, and BbLo subtracts it. Warmup covers both periods plus three bars.

Why this differs from fixed levels

A reading of 72 means one thing in a quiet market and another in a fast one. The band tracks how far RSI has been straying from its own average recently. So the same 72 can sit inside the band one week and outside it the next.

How to read the signals

RSI outside its own band is stretched relative to its recent behaviour.

Narrow bands mean the reading has been steady, whatever level it sits at.

Compare where the band sits against the fixed 70 and 30 lines.

A band drifting upward means the whole RSI range has shifted with the trend.

Alert channels in this build: popup, push notification, email and sound.

`EnableAlerts` ships on and `EnablePopup` carries the message. `EnablePushNotify`, `EnableEmail` and `EnableSound` stay off by default. `SoundFile` names the clip. This build has no once-per-bar guard, so leave the noisier channels off unless repeats suit you.

Every Bollinger Bands RSI Indicator input

Core settings

Setting	What it does	Default
RsiPeriod	Bars in the RSI, default `14`.	14
BbPeriod	RSI values in the band average, default `20`.	20
BbMult	Band width in deviations of the reading, default `2.0`.	2.0

Alert settings

Setting	What it does	Default
EnableAlerts	Switches the band alerts on as a group, default `true`.	on
EnablePopup	Raises the terminal dialog on a band event, default `true`.	on
EnablePushNotify	Sends the band event to your phone, default `false`.	off
EnableEmail	Mails the band event through the terminal, default `false`.	off
EnableSound	Plays a file on a band event, default `false`.	off
SoundFile	Name of the wav file the band alert uses, default `alert.wav`.	alert.wav

Settings that fit your chart

EURUSD H1 is the reference chart, where the pane shows the reading riding its own envelope for stretches at a time. On M5 the band reacts fast and spends much of its time wide. On H4 and daily the envelope settles, and a break of it becomes a much rarer event.

When the Bollinger Bands RSI Indicator fails

Two layers of smoothing sit between price and the band, so it reacts late.

A trending market drags the whole band with it, which hides the stretch you were looking for.

The band means nothing during warmup, and warmup here is `RsiPeriod` plus `BbPeriod` plus three bars.

Copy the compiled Bollinger Bands RSI Indicator file into your MQL4/Indicators folder, and the MT5 build into MQL5/Indicators, then restart the terminal and drag it onto a chart. The step-by-step guide with screenshots is at how to install MT4 and MT5 indicators.

Download the Bollinger Bands RSI Indicator for MT4 and MT5

The zip holds the compiled Bollinger Bands RSI Indicator build for MT4 and MT5, plus a short README. Compiled files only, no source. Enter your email below and the download link arrives in your inbox.

FAQ

What does BbPeriod at 20 average here?

Twenty RSI readings, not twenty closes. The band step treats the oscillator as its input series, takes the mean of the last twenty values and measures how far they scattered. So the envelope describes RSI behaviour rather than price behaviour.

Why put a band on RSI at all?

Because 70 and 30 are fixed and markets are not. A reading of 72 is unremarkable in a fast week and stretched in a quiet one. The band answers that by comparing the current reading with where RSI has actually been over the last twenty bars.

What do the RSI BB Up and RSI BB Lo plots mark?

Two deviations of the reading either side of its own average. Sea green sits above, tomato below. When the purple line pushes past one of them, RSI has moved further from its recent norm than it usually does.

Should RsiPeriod stay at 14?

It is a sensible default and keeps the reading comparable with every other RSI you have seen. Shortening it makes the line swing harder, which widens the band and partly cancels the benefit. Change `BbPeriod` first if you want a different feel.

Are results guaranteed?

No. Trading involves risk. Results are not guaranteed; past performance is not indicative of future results. Use the Bollinger Bands RSI Indicator as one input. Always backtest before trading live.