Trends/Momentum oscillators

Stochastic RSI

The stochastic formula applied to RSI values instead of prices, so it moves faster.

Momentum oscillatorsBest on 3M, 6MAlso called StochRSI

Illustration of the stochastic RSI shape. It is a sketch, not real price data.

What it shows

Stochastic RSI takes the last 14 RSI values and asks where today's RSI sits between their highest and lowest. The result runs from 0 to 1 (or 0 to 100).

Because it is an indicator of an indicator, it moves between extremes much more often than RSI.

How we find it

The same code that draws it on your chart follows these steps, with the same result every time.

Compute RSI (14).
Find the highest and lowest RSI of the last 14 bars.
StochRSI = (RSI − lowest RSI) ÷ (highest RSI − lowest RSI).
Optionally smooth with a 3-bar average.

Starting values: RSI 14; Stochastic window 14; Smoothing 3. These are proposed and will be tuned on real price data before launch.

How to read it

The panel shows StochRSI from 0 to 100.
It swings quickly between the top and bottom.
Dashed lines mark 80 and 20.

Status labels you may see

Label	What it means
Above 80	StochRSI is above 80.
Middle	Between 20 and 80.
Below 20	StochRSI is below 20.

What cancels it

Nothing cancels it.

What traders check next

How often it hits the extremes.
The level of plain RSI.
The trend of price.

Limits

It is very sensitive and noisy.
Spends little time in the middle.
Built on a derived series.

Try it in forecastviz

Open any ticker and choose Momentum oscillators → Stochastic RSI in the left menu.
Switch between 3M, 6M to see how the picture changes.
Compare with Relative strength index and Stochastic oscillator on the same chart.

Open on a ticker

Questions

Why use it?

It shows more detail when RSI is flat.

Is it more reliable?

No. It is faster, which also means more noise.