{"id":4280,"date":"2020-04-08T04:25:42","date_gmt":"2020-04-08T04:25:42","guid":{"rendered":"https:\/\/trade-malaysia-option.com\/gabungan-terbaik-petunjuk-teknikal-kaedah-pembuat-pasaran\/"},"modified":"2023-02-11T18:33:46","modified_gmt":"2023-02-11T18:33:46","slug":"gabungan-terbaik-petunjuk-teknikal-kaedah-pembuat-pasaran","status":"publish","type":"post","link":"https:\/\/trade-malaysia-option.com\/en\/gabungan-terbaik-petunjuk-teknikal-kaedah-pembuat-pasaran\/","title":{"rendered":"The Best Combination of Technical Indicators \u2013 Market Maker Methods"},"content":{"rendered":"

Knowing what indicators to use and what the best combination of technical indicators is can dramatically improve chart reading skills.\u00a0If you use the wrong technical indicators, this can lead to inaccurate price interpretation and subsequently to poor trading decisions.<\/span><\/p>\n

Our team at Trading Strategy Trader has carefully selected each technical indicator in order to give us the best performance for each individual trading strategy we create.\u00a0Also, read our best ADX strategies.<\/span><\/p>\n

However, if you are the price action type of trader who only uses naked charts you can safely check out our step-by-step ultimate chart guide.<\/span><\/p>\n

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Technical indicators make it easy for you to identify current price trends and predict future price movements.\u00a0By developing an effective technical analysis strategy, you can increase the amount you earn each trading day.<\/span><\/p>\n

However, while all technical indicators are useful, each has its own weaknesses.\u00a0If you only use a single indicator to monitor the market, there may be certain price trends (or dangers) that you don’t notice.<\/span><\/p>\n

By combining several technical indicators into a single trading strategy, you can limit your risk while still earning strong returns.\u00a0Below, we will explain how to create a multi-indicator strategy.<\/span><\/p>\n

A multi-indicator strategy should avoid being redundant and should use a combination of the best trading indicators in a meaningful way.\u00a0We also have training on the Universal Range Indicator.<\/span><\/p>\n

A multi-indicator strategy has the danger of being redundant because many traders use indicators that show the same type of information.\u00a0To avoid being affected by this trade fall, you need to understand that technical indicators can be classified into three groups, as follows:<\/span><\/p>\n

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  1. Trend Following Indicator<\/span><\/i>\u00a0<\/i>\u00a0allows you to determine whether an asset is currently overbought or oversold.\u00a0Many trend following indicators, such as Bollinger Bands, attempt to create a clear “channel”.\u00a0A clear channel will tell you whether the price is about to break out or return to normal.<\/span><\/li>\n
  2. Momentum indicators<\/span><\/i>\u00a0\u00a0, such as the Relative Strength Index (RSI), allow you to determine the direction and strength of the current price trend.\u00a0As the asset begins to build momentum, opening a new position will become less risky.\u00a0Looking at the Moving Average indicator also helps you measure momentum.<\/span><\/li>\n
  3. The volume indicator<\/span><\/i>\u00a0\u00a0helps traders identify a strong (strong) relationship between price and volume.\u00a0An increase in trading volume almost always leads to an increase in price.\u00a0However, these events do not always occur at the same time, therefore the volume indicator is good for advanced forecasting.\u00a0The On Balance Volume (OBV) and Money Flow are two of the most useful volume indicators.<\/span><\/li>\n<\/ol>\n

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    As you can see, while these category indicators try to determine the same thing\u2014whether the price will increase, decrease, or remain stable\u2014the angle each one offers is unique.\u00a0Looking at the market from many different angles can help you develop a more accurate, realistic, and actionable perspective.<\/span><\/p>\n

    Basically, if you trade with a multi-indicator strategy that uses the RSI indicator, the MACD indicator and the stochastic indicator, you are basically using 3 types of technical indicators that belong to the same category.<\/span><\/p>\n

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    These are all momentum indicators that will display for you the same type of information in one way or another.\u00a0In the figure above, you can see how all indicators follow each other simultaneously.<\/span><\/p>\n

    This is not good!<\/span><\/p>\n

    The problem with using inaccurate technical indicators is that you may actually think the trading signal is stronger if all the indicators point in the same direction.<\/span><\/p>\n

    Setting to information that is too impressive than using indicators that belong to the same group is quite easy.\u00a0Avoid using technical indicators that display the same information.\u00a0The best strategy of several indicators combines indicators that show different types of information.<\/span><\/p>\n

    Best Multi-Strategy Indicator<\/span><\/h2>\n

    Now comes the fun part.<\/span><\/p>\n

    Moving forward, we will highlight what indicators to use for the best strategy indicators.<\/span><\/p>\n

    We will use momentum indicators, trend-following indicators and volume indicators which support and complement each other.<\/span><\/p>\n

    RSI Momentum Indicator<\/span><\/strong><\/p>\n

    We will not take the time to explain how RSI is argued because we live in the age of computers and they do the work automatically for us.<\/span><\/p>\n

    The Relative Strength Index is a momentum indicator and a leading indicator at the same time.\u00a0Many traders like the RSI indicator because it is easy to use.<\/span><\/p>\n

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    We use the RSI indicator to identify possible overbought and oversold conditions in the market.<\/span><\/p>\n

    Next, we will mention our second indicator.<\/span><\/p>\n

    OBV \u2013 Volume Indicator<\/span><\/strong><\/p>\n

    The second indicator used for our strategy is the OBV indicator.<\/span><\/p>\n

    The OBV indicator is based on the idea that both volume and price activity are equally important.\u00a0In this regard, OBV combines both price and volume to show the amount of funds entering and exiting the market.<\/span><\/p>\n

    The screenshot above shows how your chart setup should look if you follow the instructions above.<\/span><\/p>\n

    The main idea behind the Volume On Balance indicator is that the market price will follow where the volume current is going.<\/span><\/p>\n

    Now, all we have to do is name the last technical indicator that will complete the multi-indicator strategy.<\/span><\/p>\n

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    Ichimoku Kinko Hyo (Ichimoku Cloud)<\/span><\/strong><\/p>\n

    The Ichimoku cloud is another trend indicator\u00a0<\/span><\/i>popular\u00a0\u00a0\u00a0<\/span>_\u00a0<\/span><\/i>Ichimoku Kinko Hyo will plot several different lines on the chart that make it easy to identify strong future support or resistance.<\/span><\/p>\n

    On the indicator chart, there is a blue line (Kijun Sen), a red line (Tenkan Sen), a green line (Chikou Span), and a red\/green group involved (Senou Span).\u00a0To get an accurate movement reading, each of these lines needs to be considered.<\/span><\/p>\n

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    The blue line (baseline) will plot the average of the highest high and the lowest low over the past 26 trading periods.\u00a0Similarly, the red line (rotating line) will plot the average of the highest high and the lowest low over the\u00a0\u00a0\u00a0past\u00a0<\/span>nine trading periods.<\/span><\/i><\/p>\n

    The trailing green line will plot the closing price 26 periods in the past.\u00a0This will help give you a better perspective on monitoring trends.<\/span><\/p>\n