Post
Topic
Board Trading Discussion
Re: Trading skills
by
Mpamaegbu
on 11/09/2021, 17:58:18 UTC
~snipped~

It's common for RSI to be used by traders to see if the price had reached levels to decide whether to buy and sell.
The annoying thing about RSI is that it's a lagging indicator. The candles complete their actions before RSI picks it up. I think it's not wise for traders to solely make trade calls based on signals from the RSI alone. Again, there isn't always accurate picks to show that a trade has supposedly been overbought or oversold as traders say. I have watched a few times when price touched the top level of 70 and still continued whereas it's supposed to revert at that level. It's the same thing when it occasionally touches the bottom at level 30 too.

I am not fond of drawing support and resistance as I can see it on Fibonacci already and using Volume and Momentum Oscillator.
I once had an app that drew support and resistance lines from the Fibs but it was always repainting (that's rewriting the lines). I don't like lines moving once price moves or breaks them. So, I quickly uninstalled it. I like my lines stable and fixed.

I'm not even using stoploss since I just buy and sell. Seem to have worked for me in accumulating ADA.
Trust me, you won't like the end result of not using Stop Loss (SL). You may have a few wins but a single loss can wipe off all your winnings. SL is very important in trading. I hope you don't learn the hard way.