Technical indicators are useful only when we understand the logic behind them rather than follow them mechanically. One insight I’ve learnt over the years is that no single indicator works in isolation. Price structure, volume behaviour and broader market context always matter more than any one signal.
For example, RSI helps highlight momentum extremes, but it becomes far more reliable when paired with trend direction. In a strong uptrend, “overbought” often reflects persistent strength, not an immediate reversal. Similarly, MACD works best when used to confirm changes in trend rather than predict them too early.
I also pay close attention to moving averages as dynamic support and resistance, especially the 20-day and 50-day. They reveal where buyers are stepping in consistently, which is often more practical than chasing an indicator crossover.
Most importantly, technical tools should guide probability, not certainty. When indicators align with macro conditions and price action, conviction improves. When they conflict, I size smaller and stay patient.
Learning to interpret indicators this way has helped me avoid false signals and position more confidently during volatile markets.
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