Been trading for a while now and always curious what other traders rely on most.
Currently using RSI, MACD, and Bollinger Bands but feel like I’m missing some solid ones that could improve my setups.
Twenty indicators? You’re setting yourself up for confusion, not profits. Stick to 3-5 max - that’s what successful traders do. RSI, MACD, and Bollinger Bands already cover momentum, trend, and volatility. You’ve got the basics down. Throw in some moving averages for trend direction and support/resistance levels, and you’re set. Here’s the thing - price action around key levels beats any indicator. Fibonacci retracements work great for entries and exits. Volume confirms your moves. Stop chasing shiny new indicators and actually master what you have. You’ll make consistent money by understanding a few tools inside and out, not by collecting twenty different signals that fight each other.
After years of testing setups, less is definitely more. I started with way too many indicators - just created noise.
ATR’s been a game changer for position sizing and stops. Shows you exactly how much a pair typically moves so you can set realistic stops.
Ichimoku looks complex but the signals are clean once you get it. The cloud works as dynamic support/resistance.
ADX helps me avoid choppy markets. Below 25? I stay away since trends are weak.
CCI’s underrated for divergences. Better than RSI in ranging markets.
What really matters though - backtest your combinations. I spent months testing different pairs on historical data. Most fancy indicators just lag price action anyway.
Focus on confluence. When RSI, MACD, and Bollinger Bands all line up with key support, that’s a solid setup. More indicators won’t fix bad setups.
Consider adding moving averages next. The 20 and 50 EMA can help show trend direction and work well with what you already have.
Stochastic is solid for momentum and pairs nicely with RSI as they capture different divergences.
Support and resistance may not be traditional indicators, but they are important. Price respects these levels much more than complex indicators do.
Parabolic SAR is perfect for trailing stops. Simple but works really well for catching when trends reverse.
Price action and volume tell you everything you need.