RSI (Relative Strength Index)
Measures if a crypto is overbought (>70, might drop) or oversold (<30, might rise). Between 30-70 is neutral.
Example: RSI of 75 = potentially overheated, consider waiting for a dip.
MACD (Moving Average Convergence Divergence)
Shows momentum direction. Positive = upward trend, Negative = downward trend.
Tip: MACD crossing above signal line = potential buy signal.
Bollinger Bands
Price channels that show volatility. Touching upper band = potentially overbought, touching lower band = potentially oversold.
Ichimoku Cloud
Japanese system showing overall trend strength:
- 🚀 Strong Bullish = Strong uptrend, good for holding
- 📈 Bullish = Moderate uptrend
- ⚠️ Bearish = Moderate downtrend
- 📉 Strong Bearish = Strong downtrend, be cautious
Price above green cloud = bullish, below red cloud = bearish.
Volume Profile
Shows where most trading activity happened:
- POC (Point of Control) = Price level with highest trading volume
- Value Area = Range where 70% of trading occurred
- Price below Value Area = potential to move up to high-activity zones
- Price above Value Area = potential to move down
Moving Averages (SMA)
Average price over time periods:
- SMA 20 = Short-term trend (20 days)
- SMA 50 = Medium-term trend (50 days)
- SMA 200 = Long-term trend (200 days)
Price above SMA 200 = long-term uptrend. Price below = downtrend.
Pro Tip
Don't rely on just one indicator! The best signals come when multiple indicators align. For example: RSI oversold + Ichimoku bullish + price below Value Area = strong buy signal.