2007 VRSCDX Alarm system "key" icon is on while riding

the red key has to do with security... if you have a remote control for your alarm system you may need to change the batteries

I love the form of your question, as I wanted to wing the sucker myself, but got online before I actually pulled an Office Space on it. I found nothing, but I DID actually figure it out. Not super intuitive though. To set the time: Hold down the memory key in the middle until the number flashes. Use the arrow up/down on the right to set hour. Press Memory key again, repeat with arrow keys to set minutes. Hit memory key again. Alarm: Press/hold the Alarm button until the Alarm 1 or 2 flashes and press the side you want, 1 or 2, to set. Arrow time up/down, then do minutes, press alarm 1 again, select alarm or tuner, press alarm 1 again. Now I need to see if it will work in the morning. I know the flipping time is set though! Good luck. If you wing it, please post photos! :D

If you do not know the security code, you can reset it to your own choosing.
With the fob present, turn IGN switch:
IGNITION-OFF-IGNITION-OFF-IGNITION
Press LEFT turn signal switch 3 TIMES
Press RIGHT turn signal switch 1 TIME and release
Turn signals will flash 3 times. Current PIN will appear in odometer. The first digit will be flashing.

If changing PIN, enter first digit (a) of new PIN by pressing LEFT signal switch (a) time(s) i.e., for the number 1, press one time. for the number 5, press 5 times.

Press RIGHT signal switch 1 TIME and release.
the new digit (a) will replace the current in odometer window.

Enter second digit (b) with LEFT signal switch.

Repeat until PIN is set.

Once PIN is set (either new or old PIN), to disarm security system, DO NOT sit on seat, lift bike off kick stand, or anything else that will activate the security mode!

Turn IGN to IGNITION.

Quickly (within 2 seconds) hold BOTH turn signal switches until confirmation signal (KEY icon flashes at fast rate, in odometer window, a flashing "-" will be followed by 4 more dashes = "----")

Enter 1st digit (a) in PIN by pressing LEFT turn signal switch (a) times (i.e., 5 times for the number 5)
The 1st "-" will become the 1st digit (i.e., "5")

Press RIGHT switch signal 1 TIME.
The 1st digit is stored and the dash will flash.

Enter 2nd digit (b), and repeat sequence until done.

After the 5th digit is entered, the KEY icon stops blinking, and the system is disarmed.

The system will stay off until the IGN switch is turned off.

If at any time during disarming sequence an error is made, wait 2 minutes before trying again.

Yes, you do need to take it to dealership to match the fob.
BUT, to get it to the dealership, you can bypass the fob IF you know the security code.

DO NOT sit on seat, lift bike off kick stand, or anything else that will activate the security mode!

Turn IGN to IGNITION.

Quickly (within 2 seconds) hold BOTH turn signal switches until confirmation signal (KEY icon flashes at fast rate, in odometer window, a flashing "-" will be followed by 4 more dashes = "----")

Enter 1st digit (a) in PIN by pressing LEFT turn signal switch (a) times (i.e., 5 times for the number 5)
The 1st "-" will become the 1st digit (i.e., "5")

Press RIGHT switch signal 1 TIME.
The 1st digit is stored and the dash will flash.

Enter 2nd digit (b), and repeat sequence until done.

After the 5th digit is entered, the KEY icon stops blinking, and the system is disarmed.

The system will stay off until the IGN switch is turned off.

If at any time during disarming sequence an error is made, wait 2 minutes before trying again.

The alarm may not be recognising the key code. A spare key may still work if the main key is corrupted otherwise it is a dealership job as to explain how to over ride the alarm, by reprogramming the ignition system, is not a thing I am willing to do. It will compromise every other Harley D bike and other vehicles.

You'll need the PIN number.
If you don't know it, you'll have to change it to a 5 digit PIN number you select.

With the fob present, turn IGN switch:
IGNITION-OFF-IGNITION-OFF-IGNITION
Press LEFT turn signal switch 3 TIMES
Press RIGHT turn signal switch 1 TIME and release
Turn signals will flash 3 times. Current PIN will appear in odometer. The first digit will be flashing.

If changing PIN, enter first digit (a) of new PIN by pressing LEFT signal switch (a) time(s) i.e., for the number 1, press one time. for the number 5, press 5 times.

Press RIGHT signal switch 1 TIME and release.
the new digit (a) will replace the current in odometer window.

Enter second digit (b) with LEFT signal switch.

Repeat until PIN is set.

Once PIN is set (either new or old PIN), to disarm security system, DO NOT sit on seat, lift bike off kick stand, or anything else that will activate the security mode!

Turn IGN to IGNITION.

Quickly (within 2 seconds) hold BOTH turn signal switches until confirmation signal (KEY icon flashes at fast rate, in odometer window, a flashing "-" will be followed by 4 more dashes = "----")

Enter 1st digit (a) in PIN by pressing LEFT turn signal switch (a) times (i.e., 5 times for the number 5)
The 1st "-" will become the 1st digit (i.e., "5")

Press RIGHT switch signal 1 TIME.
The 1st digit is stored and the dash will flash.

Enter 2nd digit (b), and repeat sequence until done.

After the 5th digit is entered, the KEY icon stops blinking, and the system is disarmed.

The system will stay off until the IGN switch is turned off.

If at any time during disarming sequence an error is made, wait 2 minutes before trying again.

I assume there is no second mouse on the system and you are using keyboard commands. Try the following in the device manager..

1. Press Control-Esc or press the Windows key on your keyboard to bring up the Start menu.
2. Using the up arrow key, highlight "Settings."
3. Right arrow key to "Control Panel" and press the enter key.
4. Use the arrow keys to highlight the System icon and press the Enter key.
5. Use the right arrow key to select the Device Manager tab. (For Windows XP/2000 , use the right arrow key select the "Hardware" tab. Now use the tab key, select the "Device Manager" button and press the enter key.)
6. Use the "Tab" key to select the "Computer Icon" at the top of the list of device icons.
7. Use the down arrow key to highlight the Mouse icon.
8. Use the right arrow key to open the mouse icon and verify there is a mouse icon that states, "HID-compliant mouse," and another entry that states the name of your USB device.
9. If there are any errors reported on these icons by exclamation points or red X's, highlight these icons using the arrow keys and "Tab" to the "Remove" button and press the enter key. (For Windows XP/2000 , highlight these icons using the arrow keys and then press Alt-A keys. From the "Action" menu, highlight "Uninstall" and press the enter key.) When the "Confirm Device Removal" box appears, press the enter key.
10. Once these icons have been removed, use the Tab key to get to the "Refresh" button and allow Windows to re-detect the pointing device. (If u r using Windows XP/2000 , press the Alt-A keys. From the "Action" menu, select "Scan for hardware changes" and press the Enter key.)
11. Use the arrow keys to open the Mouse icon again and verify that there are no errors reported.
12. Power down the computer system and restart Windows.