Tools are explained for the beginners
1. Moving Average (MA) – “Trend Finder”
👉 What is it?
A line that shows the average price over a number of past days (or hours).
🟡 Example:
MA 10 means the average price of the last 10 candles
MA 5 means the average price of the last 5 candles
🔍 Why use it?
To see the direction of the market:
If the line is going up, the market is going up
If it's going down, the market is falling
✅ Smart Use:
When MA 5 crosses above MA 10, it might be a buy signal
When MA 5 crosses below MA 10, it could be a sell signal
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📈 2. RSI (Relative Strength Index) – “Power Meter”
👉 What is it?
A number between 0 to 100 that shows how strong or weak the market is.
🟢 How to read it?
Above 70 → Overbought (Too high – might fall soon)
Below 30 → Oversold (Too low – might go up)
✅ Smart Use:
Use RSI to avoid buying at the top or selling at the bottom
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📊 3. Volume – “Market Activity”
👉 What is it?
Volume shows how many people are buying or selling in the market.
🔍 Why use it?
High volume = Strong move (More trust)
Low volume = Weak move (Risky or fake breakout)
✅ Smart Use:
When price goes up with high volume, the move is strong
If volume is low, the price might not hold
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📐 4. Trendlines – “Support & Resistance”
👉 What is it?
Lines you draw on the chart to show how price is moving (up, down, sideways)
Support = Lower line (Price often bounces here)
Resistance = Upper line (Price often drops here)
✅ Smart Use:
Buy near support
Sell near resistance