I’ve been trading for a little while and can’t seem to decide which is better for entry signals.
The MACD feels more fluid, but the RSI reacts quicker. What have you found works best between the two?
Started with RSI because it’s dead simple - oversold under 30, overbought over 70.
Problem is RSI throws way too many fake signals when there’s a strong trend. You’ll get wrecked trying to catch falling knives while the market keeps tanking.
Switched to MACD crossovers and they’re way more reliable for real trend changes. Takes longer to signal but saves you from those brutal counter-trend disasters.
Now I run both. RSI shows me potential reversal spots, MACD confirms the entry. Way better than using just one.
RSI works fine if you ignore the basic rules.
Both indicators serve their purpose, but I recommend starting with MACD for trending markets.
RSI can hurt your profits during strong momentum. Markets often remain overbought or oversold longer than anticipated.
Master the MACD timing first, then consider using RSI for spotting divergence.
MACD’s way better for beginners. Less noise and you can actually see momentum shifts clearly. Here’s a solid breakdown of MACD strategy:
RSI just gets all over the place when markets are trending hard.
I stick with RSI mostly. Just use different levels like 25/75 instead of 30/70 for trending markets.
No single indicator will make you profitable. They all lag because they’re based on old price data. MACD works well for trends but signals come late. RSI can help spot reversals but struggles during strong trends. Stop chasing the magic indicator. Focus on price action first. Master support and resistance, trend lines, and candlesticks. They reveal what’s happening now. Use indicators to confirm your analysis, not as primary entry signals.
Depends on your timeframe. I wasted months trying to nail entries with RSI on 15min charts - got burned constantly because it stays oversold forever in trending markets.
Switched to MACD on 4H charts and everything clicked. The crossovers gave me cleaner entries without all that RSI noise. You miss the first part of moves, but you catch the meat of trends.
With MACD, wait for the histogram to flip direction too, not just the line cross. Saved me from tons of false breakouts.
Both work if you know their weaknesses. RSI for ranging markets, MACD for trends. Test them on demo first and see which fits your style.