Ask ten traders to read the same chart and you will get ten opinions. Ask the same trader on two different days and you might get two. Discretionary technical analysis is inconsistent by nature — it depends on mood, memory, and which indicator caught your eye first. The fix is not a better indicator. It is turning the whole analysis into a single, reproducible number.
This is how we automate technical analysis into a 0–100 opportunity score: the same six signals, computed the same way, on every symbol, every fifteen minutes — then combined into one figure you can rank, filter, and act on without re-litigating the chart each time.
Six signals, computed the same way every time
Every symbol runs through the same battery of indicators on 250 days of price history, refreshed every fifteen minutes during market hours:
- RSI (14-period) — momentum and overbought/oversold extremes.
- Bollinger Bands (20-period, 2σ) — volatility and squeeze detection.
- SMA 50 / 100 / 200 — the moving-average stack that defines trend.
- Realized volatility (30-day) — how much the stock has actually moved.
- ATR % (14-period) — the expected daily move as a percentage.
- Gamma walls — where dealer positioning concentrates support and resistance.
The value of automation here is not any single calculation — it is that the calculation never changes. No symbol gets the benefit of the doubt; none gets unfairly punished. Consistency is the edge.
Three pillars, one score
The signals roll up into three weighted pillars that sum to 100:
Score = Gamma (0–40) + IV (0–35) + Trend (0–25) = Total (0–100)
| Pillar | Max points | What it measures |
|---|---|---|
| Gamma | 40 | Wall strength and the quality of the price corridor. |
| IV | 35 | Whether implied volatility sits in the premium-selling sweet spot. |
| Trend | 25 | Directional conviction, scaled by how strong the trend actually is. |
Gamma gets the most weight because the corridor between dealer walls is the most actionable piece of information for defined-risk premium selling — it tells you where price is likely to stall.
The Gamma pillar degrades gracefully
Not every stock has clean options data, so the gamma pillar uses a three-tier fallback — it always produces a score, just with appropriately lower confidence:
| Data available | How it scores | Cap |
|---|---|---|
| Full gamma exposure (GEX) | wall quality 60% + band quality 40% | 40 pts |
| Open interest only | band width quality | 28 pts |
| Technicals only | RSI 50% + Bollinger width 50% | 22 pts |
A stock with no options data simply cannot earn the top tier — which is correct. The score reflects not just the setup, but how much we can trust the data behind it.
The IV pillar rewards the sweet spot
Premium selling works best in a specific volatility band. Too low and the premium is not worth the risk; too high and the market is panicking. The IV pillar encodes exactly that:
- IV below 20%: score scales down proportionally — premiums are too thin.
- IV 20–50%: full 35 points — the sweet spot for selling premium.
- IV above 50%: score decays toward zero — elevated risk, treat as a danger flag.
For the deeper logic on volatility, see implied volatility rank explained.
The Trend pillar rewards conviction, not direction
The trend pillar does not care whether a stock is bullish or bearish — it rewards conviction in either direction and penalizes indecision. A strongly bullish tape and a strongly bearish tape both score well; a directionless chop scores low. That conviction is then scaled by trend strength (an ADX-style multiplier), so a weak trend cannot masquerade as a strong one.
| Trend score | State |
|---|---|
| 0.85 | Strong bullish — price above the stack, well clear of the 200-day |
| 0.70 | Bullish — SMA50 over SMA100, price above SMA50 |
| 0.50 | Neutral — moving averages converging |
| 0.30 | Bearish — price below SMA50, stack rolling over |
| 0.10 | Strong bearish — price below the stack, well under the 200-day |
Reading the number — and the decision it drives
Once the three pillars are summed, the total maps to a plain-English verdict:
| Score | Reading |
|---|---|
| 75–100 | Excellent — high-confidence setup |
| 60–74 | Good — solid, with minor weakness |
| 40–59 | Marginal — mixed signals, trade with caution |
| 0–39 | Avoid — multiple pillars failing |
The score then feeds a decision tier. A score of 65 or higher that also clears its setup gates becomes an APPROVED idea; 40–64 lands on the WATCHLIST; below 40 is NO-TRADE. Guardrails can only downgrade, never upgrade: a developing (not-yet-confirmed) trend, or price about to test a wall, will knock an otherwise-approved idea down to the watchlist. The system is built to say "not yet" cheaply.