Technical indicators are mathematical formulas applied to the open, close, high and low of a liquid asset such as gold or oil, bitcoin or the euro.
These indicators are placed over top of price on a chart or below a price chart and help give traders information and interpretation of price movement. They help us see developing trends and trends that are ending, the also give us momentum and market volatility.
Many well known indicators include MACD, RSI, Moving Averages, Stochastics, Williams %R, CCI and ADX and hundred more.
Technical indicators can provide entry and exit signals and secondary filters to determine if a trade is worthwhile entering and will also signal when its time to exit your trade.
