What is a Technical Indicator? Technical indicators are mathematical tools that are applied on price and trading volume data to analyze and predict market trends. They help investors better understand price action, identify potential buying and selling points, and manage risk more effectively. Common Types of Technical Indicators 1. Trend Indicators Trend indicators help determine the direction of the market, including: Moving Averages (MAs): Like the SMA and EMA, smoothing price movements to identify trends. Average Directional Index (ADX): Measures the strength of a trend, whether up or down. 2. Oscillators The oscillator identifies the overbought or oversold conditions of the market, including: Relative Strength Index (RSI): Assesses how overbought or oversold it is based on the speed and movement of the price. Stochastic Oscillator: Compares the closing price to the price range of a certain period of time to identify overbought or oversold. 3. Volume Indicators The volume ind...