Secondary indicators (momentum and volume)
These tell you how strong a trend is and if there is enough volume to sustain it.
5. AVL (Average Transaction Volume)
Averages the trading volume over a period of time.
Example: Like checking how many people are buying plane tickets to a destination to see if it will be more expensive or cheaper.
6. VOL (Volume)
Shows how many cryptos are bought and sold.
Example: Like counting how many times a store sells a product in a day.
7. MACD (Moving Average Convergence/Divergence)
Compares two moving averages to identify trend changes.
Example: Like comparing how much you have been spending on coffee in the last week vs. the last month to see if there is a change in habit.
8. RSI (Relative Strength Index)
Measures if an asset is overbought (>70) or oversold (<30).
Example: Like seeing if the line to buy movie tickets is full (overbought) or empty (oversold).
9. KDJ
Similar to the RSI, but with three lines to detect changes faster.
Example: Like seeing not only if there are a lot or few people in the gym, but also how it has changed in the last hour.
10. OBV (On-Balance Volume)
Compares volume with price changes to detect hidden trends.
Example: Like seeing how many people enter and leave a nightclub to know if the party is still going or is about to end.
11. WR (Williams %R)
Measures where the current price is in the trend.
Example: Like seeing if a person in a race is at the beginning, in the middle, or near the finish line.
12. StochRSI (Stochastic RSI)
A more sensitive RSI that detects direction changes more quickly.
Example: Like a detailed weather forecast that changes every hour instead of every day.