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The indicators could [theoretically] be somewhat intelligent using some homegrown, small, & inexpensive circuits, such as a progressive shift light array, and for temperature/pressure, define a window that indicates either safe or unsafe operation and turn on the indicator accordingly. Lights could be single LEDs, arrays, multi-color, etc. For example, have 3 LEDs or a 3-color LED for Fuel Level to indicate Full, 2/3 Full, 1/3 Full.
It sounds like you can do a fair bit of design work. So that is good. You can have it any way that you want. For me, a speedo, and a fuel gauge and a BIG RED "shut it down now" light are the minimal ones, that is unless you want to go back to the early VW Bug days/ They had no fuel gauge and a "reserve" valve to switch over when you run out; sort of like motorcycle tanks. Everything else is just clutter. This could be the low/high oil pressure, high engine temp, and any other signal "and'd" together. It needs to be BIG and BRIGHT to catch your attention even when not looking for it. I have, from my donor, a low brake fluid and low oil level light. They have come in handy a time or two.
BTW, fluctuating water temp gauge could be an indication of low coolant. So if you are monitoring that analog gauge, it will tell you BEFORE you do permanent damage to your engine. Analog gauges can be very helpful in monitoring engine health and diagnosing issues. I wouldn't discount them.
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Chuck.
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