exchanges – What’s the proper methodology to calculate Relative Power Index (RSI) for incoming actual time information?
I’m engaged on a buying and selling bot that computes values for a number of indicators together with the RSI. I subscribe to actual time minute-level market information from an exchanges, and as new information arrives, I get the newest tick, and re-compute indicators.
Let’s assume the RSI calculation interval is 1 hour.
Common acquire is computed as:
[Prev Avg Gain x 13 + (Price at 05:00 - Price 04:00)]/14.
[Prev Avg Gain x 13 + (Price at 06:00 - Price 05:00)]/14.
What’s the proper option to compute RSI at a minute stage? I generate commerce indicators (purchase/promote) each 5 minutes. What’s the proper option to replace RSI at
05:05 i.e, at a smaller granular interval (5 minutes) than the calculation interval (1 hour)? I do not need to wait one till
06:00 to get the RSI for the one hour interval. I’ve two choices:
Present Achieve = (Value at 05:05) - (Value at 05:00).
Present Achieve = (Value at 05:05) - (Value at 04:05).
And do that for every of the earlier intervals in order that common acquire additionally follows this method – primarily including a 5 minute shift to every computation.
Any solutions are welcome.