RSI Variants Using Different Averages and Price Smoothing

Summary

The document describes an RSI experiment that changes the averaging method used to calculate gains and losses. Wilder’s original smoothing is identified with the smoothed moving average, and the experiment allows users to choose among four basic average types, creating alternative RSI calculations.

It also proposes smoothing price before calculating RSI, producing RSI of a moving average and further variants based on the selected average. The document explains the calculation options conceptually but provides no formulas, parameter guidance, performance evidence, or trading rules. These variants therefore need independent testing before their usefulness can be assessed.

Key ideas

• Wilder-style RSI smoothing is described as equivalent to a smoothed moving average.
• The indicator permits choosing among four average types for its internal RSI calculation.
• Smoothing price before RSI calculation creates RSI of a moving average variants.
• The document presents calculation variations but gives no evidence that they improve trading results.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.