What are the best settings on RSI for inter-day trading

The best settings for the Relative Strength Index (RSI) indicator for inter-day trading can vary depending on individual preferences, market conditions, and trading strategies. However, here are some common settings and considerations:

1. **Default Setting**: The default RSI setting for day trading is often 14 periods. This provides a balance between capturing recent price movements and filtering out noise from shorter-term fluctuations.
2. **Oversold and Overbought Levels**: The oversold level is typically set at 30, and the overbought level is set at 70. These levels can indicate potential reversal points, with a reading below 30 suggesting an oversold condition and a potential upward trend, and a reading above 70 indicating an overbought condition and a potential downward trend.
3. **Shorter Timeframes**: Traders may opt for shorter timeframes, such as between 6 and 9 periods, to increase the frequency of overbought and oversold signals. This can be useful for traders looking for more rapid price movements.
4. **Longer Timeframes**: Alternatively, traders may use longer timeframes, such as 20 or 30 periods, to reduce the frequency of extreme RSI values and smooth out signals. This can be beneficial for swing trading or traders who prefer a longer-term perspective.
5. **Backtesting**: It's essential to backtest different settings before applying them in live trading to determine which settings work best for your specific trading style and market conditions.
6. **Adaptation**: RSI settings should be adapted to individual preferences and market conditions for accurate insights. This may involve trial and error or the use of automated optimization tools.

In conclusion, the best settings for the RSI indicator for inter-day trading will depend on a combination of factors, including the trader's risk tolerance, trading style, and the characteristics of the market being traded. It's important to experiment with different settings and evaluate their performance in real-time to find the most effective approach for your trading strategy.