#TradingTools101
📊 Technical analysis indicators to help you improve your trading decisions:
1️⃣ Moving Averages (MA):
🎯 Goal: Determine the overall market trend.
🔹️ 50 days = Short-term
🔹️ 200 days = Long-term
Usage method:
✅ Buy signal: 50 crosses above 200 → "Golden Cross" → Likely start of an uptrend.
❌ Sell signal: 50 crosses below 200 → "Death Cross" → Likely start of a downtrend.
📌 Example: Appearance of a "Golden Cross" on BTC → Opportunity to enter a buy trade.
2️⃣ Relative Strength Index (RSI):
🎯 Goal: Know if the asset is in an overbought or oversold condition.
🔹️ Ideal setting = 14 periods
Usage method:
✅ Buy signal: RSI below 30 → then starts to rise → Potential buying opportunity.
❌ Sell signal: RSI above 70 → then starts to fall → Potential selling opportunity.
📌 Example: RSI drops to 25, then rises → Could be a good entry opportunity.
📌 Tip: Don't rely on just one indicator → Combine multiple tools to improve your decisions. ✅
#Technical_Analysis #CryptoTrading #RSI #MovingAverages