GetstartedOpeninappHarryNicholls828FollowersAboutFollowSigninGetstartedFollow828FollowersAboutGetstartedOpeninapp7PopularTechnicalIndicatorsandHowtoUseThemtoIncreaseYourTradingProfitsHarryNichollsApr9,2018·16minreadPhotobyChrisLiveranionUnsplashEverwonderedhowtousetechnicalindicatorsintrading?Wellwondernomore,thisarticleintroduces7popularindicators,andthestrategiesyoucanusetoprofitfromtheirsignals.Technicaltradinginvolvesreviewingchartsandmakingdecisionsbasedonpatternsandindicators.Thesepatternsareparticularshapesthatcandlesticksformonachart,andcangiveyouinformationaboutwherethepriceislikelytogonext.Indicatorsareadditionsoroverlaysonthechartthatprovideextrainformationthroughmathematicalcalculationsonpriceandvolume.Theyalsotellyouwherethepriceislikelytogonext.Thereare4majortypesofindicator:TrendMomentumVolumeVolatilityTrendindicatorstellyouwhichdirectionthemarketismovingin,ifthereisatrendatall.They’resometimescalledoscillators,becausetheytendtomovebetweenhighandlowvalueslikeawave.Trendindicatorswe’lldiscussincludeParabolicSAR,partsoftheIchimokuKinkoHyo,andMovingAverageConvergenceDivergence(MACD).Momentumindicatorstellyouhowstrongthetrendisandcanalsotellyouifareversalisgoingtooccur.Theycanbeusefulforpickingoutpricetopsandbottoms.MomentumindicatorsincludeRelativeStrengthIndex(RSI),Stochastic,AverageDirectionalIndex(ADX),andIchimokuKinkoHyo.Volumeindicatorstellyouhowvolumeischangingovertime,howmanyunitsofbitcoinarebeingboughtandsoldovertime.Thisisusefulbecausewhenthepricechanges,thevolumegivesanindicationofhowstrongthemoveis.Bullishmovesonhighvolumearemorelikelytobemaintainedthanthoseonlowvolume.Wewon’tcovervolumeindicatorshere,butthisclassincludesOn-BalanceVolume,ChaikinMoneyFlow,andKlingerVolumeOscillator.Volatilityindicatorstellyouhowmuchthepriceischanginginagivenperiod.Volatilityisaveryimportantpartofthemarket,andwithoutitthere’snowaytomakemoney!Thepricehastomoveforyoutomakeaprofit,right?Thehigherthevolatilityis,thefasterapriceischanging.Ittellsyounothingaboutdirect