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* Many false positives -- especially during sideways market
* Many false positives -- especially during sideways market
* Suggested to be used in conjunction with other indicators
* Suggested to be used in conjunction with other indicators
 
* Lagging indicators - trails behind the actual price action


== Bollinger Bands ==
== Bollinger Bands ==

Revision as of 21:37, 13 December 2020

Moving Average Convergence Divergence (MACD)

  • Momentum indicator calculated by taking the difference of two moving averages of an asset price (typically 12 period MA and 26 period MA).
  • A signal line is also calculated which is again a MA (typically 9 period) of the MACD line
  • The MACD line cutting the signal line from below signals bullish period and the former cutting the latter from above signals bearish (also called crossover strategy)
  • Many false positives -- especially during sideways market
  • Suggested to be used in conjunction with other indicators
  • Lagging indicators - trails behind the actual price action

Bollinger Bands

Relative Strength Index (RSI)

Average Directional Index (ADX)

SUpertrend

Renko Charts