📌We have two types of indicators
📌Leading indicators and lagging indicators .
RSI is a lagging indicator.
📌A lagging indicator is an indicator that lags (market has done what it wants to do and is showing you as it is doing it.)
📌A leading indicator is showing you what is about to happen or likely going to happen and you bank on that to form a bias .
A typical example of a leading indicator is usdt dominance and btc dominance and alts dominance .
That’s another level of charting .
If you understand how those things work ,you will understand money movement.
You will understand general market direction .
Another leading indicator is support and resistance .
Trend lines , those ones tells you about potential movement that will happen .
That is why you can see your RSI showing market is over bought ,yet your Trendline is screaming we still have room for possible pump o
There is a resistance I might still go and touch , calm down and watch me.
So don’t just bank on RSI cos market can go double the distance it has gone especially if manipulation now sets in.
To stay ahead in this game, you must learn, relearn and unlearn.