#LearnFromMistakes
Before jumping to trade let's learn basics of trade otherwise you will loose and will be gambler nstead of professional trader.
Top Trading Indicators & Best Strategy (Simplified)
1. Moving Averages (MA) – Trend Finder
Simple MA (SMA): Average of prices over time.
Exponential MA (EMA): Gives more weight to recent prices.
Best Use:
Buy if price is above 50 or 200 EMA.
Sell if below.
Golden Cross: 50 EMA crosses above 200 EMA → Buy.
Death Cross: 50 EMA crosses below 200 EMA → Sell.
2. RSI (Relative Strength Index) – Overbought or Oversold
Range: 0–100
Above 70 = Overbought → Price may drop.
Below 30 = Oversold → Price may bounce.
Best Use:
In uptrend, buy at RSI 30–40.
In downtrend, sell at RSI 60–70.
3. MACD – Momentum Checker
Tracks 2 EMAs (12 and 26).
MACD line vs Signal line:
MACD crosses above Signal → Buy.
MACD crosses below Signal → Sell.
Also shows trend strength and weakness.
4. Bollinger Bands – Volatility Watch
3 lines: Middle MA + Upper Band + Lower Band
Best Use:
Touch lower band in uptrend → Possible Buy.
Touch upper band → Take profit or wait.
Tight bands = Big move may come.
5. Support & Resistance – Entry/Exit Zones
Support = Area where price bounces up.
Resistance = Area where price faces selling.
Best Use:
Buy near support, sell near resistance.
Use with RSI or MA to confirm entry.
Simple Strategy Using All 5:
1. Find the Trend: Use 50 and 200 EMA.
2. Wait for RSI to go near 30–40 (in uptrend).
3. Check MACD: Buy when MACD crosses above Signal.
4. Confirm with Bollinger Bands: Buy if price near lower band.
5. Set Stop-Loss just below support.
6. Take Profit near resistance.
Tips for Beginners:
Use 2–3 indicators, not too many.
Always use stop-loss to manage risk.
Don’t trade when the market is flat.
Practice on demo before using real money.
Use higher timeframes (1H, 4H) for better accuracy.