Day traders and swing traders are likely accustomed to using at least two or three trading indicators daily. The most common is the Bollinger Bands indicator. This is the easiest indicator to understand, and I find it quite accurate. With this indicator, at least in the short term, we can determine whether the market is overbought or oversold. Traders typically use these points to place new entries. I do it too, and I learned this from someone. But my approach is to wait for the overbought/sold level to be broken, and to determine whether it's at the strongest support or resistance level. I'll wait for some market confirmation before making a decision on whether to enter. This way, I can avoid some risk of loss. Each indicator has its own advantages, and every trader has their own favorite indicators.