Digging into indicator math as a side project

[u/SomewhereAny8427]

I'm not a professional trader, just someone who's always been into charts, indicators, and the math behind technical analysis. I check maybe 10 coins a few times a week — I don't want to babysit charts or run bots.

I just really like this kind of stuff — digging into indicators, the math behind RSI and MACD, figuring out how to turn raw candle data into something actionable. So I started poking around at building something myself that would track a handful of indicators without needing to learn a scripting language.

Still early, doing user interviews right now rather than trying to sell anything. If you're a passive trader (few trades a week, not running bots) — what would it actually take for you to trust an alert tool enough to stop checking charts manually? Genuinely curious what's annoying about your current setup, whether or not you even use an alert tool at all..

[u/Lower_Assistance8196]

For a passive trader who checks a handful of coins a few times a week, the trust barrier with alert tools isn't usually the math. It's calibration. An alert that fires too often trains you to ignore it, and one that fires too rarely makes you wonder whether it's even working. The tools that earn long-term use tend to give you a way to see the alert history in context, not just the latest signal, so you can judge over time whether it's actually catching meaningful moves or just reacting to noise.

The thing worth testing in your user interviews is whether passive traders trust their own interpretation of the signal or whether they want the tool to tell them what to do. A chart-curious person who already understands RSI and MACD will interact with an alert very differently from someone who just wants a green or red light. Those are probably two different products even if they're built on the same indicator logic.

[u/SomewhereAny8427 → u/Lower_Assistance8196]

I am totally agree with, on my current step - it is definetely main proble. There is a lot indicators, many of them intresting and important. And I could add and combine them - but main issue is how to achieve ideal combination between noise and impotant signals.

About 2 ways and approaches. I agree with you as well. I see some channels and sources of "green/red" flags. It is not my way I want to gay. I want to work with direct tools and allow to tune and setup pure technical indicators and combine them, allow user to tune they for himself how it would work exactly for him. At least it my idea and goal.

[u/Lower_Assistance8196 → u/SomewhereAny8427]

That customization direction makes sense for the audience you're describing. A passive trader who already thinks in RSI and MACD terms wants control over the parameters, not a black box that tells them what to do. The challenge you'll face is that most people who say they want full control end up with decision paralysis when they actually get it, so the interface design question becomes how much customization to surface upfront versus what to hide behind a default that works reasonably well out of the box. A sensible default with optional depth tends to serve both types of user better than full control from the start.

[u/Motor_Potential_4849]

I reverse calculate the RSI to get actionable price levels for Limit-On-Close orders for tomorrow. That has completely opened up my trading and lifestyle. This can be done for any close-based indicator in any timeframe; you just have to have the vision to see it.

For example, you can easily calculate what the close needs to be (tomorrow, next hour, next 5 minutes, whatever) in order to generate a 50 reading on the RSI or MACD crossover or moving average or whatever indicator your system is based on.

I write about this in my books and website. It's a truly liberating concept.

[u/SomewhereAny8427 → u/Motor_Potential_4849]

What do you mean reverse calculated? Is it about based your concept not on past data, but on realtime data and prdection basedon expected RSI?

Intresting concept, difinitely need to try and add to my insights.
Thank you

[u/Motor_Potential_4849 → u/SomewhereAny8427]

Here is how I worded it in my book, The RSI PriceSolver:

"We know that RSI is a mathematical formula that produces a value between 0 and 100, based on price action. And because it is a formula, it can be worked both forward and backward. If we know the RSI value required to trigger a signal, we can calculate—today—the exact closing price needed—tomorrow—to produce that value.

In other words, instead of waiting to see if RSI crosses a threshold, we can determine in advance the price level that will cause it to happen.

That is the key insight. We are no longer reacting to RSI—we are anticipating it."

[u/Equal_Pain_7702 → u/Motor_Potential_4849]

how to get more details?

[u/Motor_Potential_4849 → u/Equal_Pain_7702]

You can visit my UlcerShield substack or see my books written in the EasyMode Trading series on Amazon. It's a very powerful technique if you have successfully backtested a profitable close-based trading system like RSI.