Traders who engage in short-term trading are often stuck on one question: are technical indicators meant for prediction or for decision support? The answer is actually quite straightforward—indicators' true value lies in providing you with a probabilistic advantage and clear operational signals, rather than crystal ball predictions. Mastering a few proven indicator combinations allows you to identify high-probability trading opportunities amid market noise.

Let's start with moving averages. On a 15-minute chart, EMA5 and EMA13 are the most practical. They are not used for prediction but serve as trend sentinels and support/resistance levels. When the short-term line crosses above the long-term line (known as a golden cross), and the price also stabilizes above this moving average system, it signals a short-term buy—not foolproof, but with a favorable probability. Conversely, a death cross combined with a breakdown in price indicates a shorting opportunity. There's also a detail: in strong trending markets, the price often retraces to the EMA21 on the 1-hour chart and then re-stabilizes. These levels are often good entry points following the trend.

Next, consider RSI, a gauge of market momentum. It excels in two main functions in short-term trading. The first is identifying overbought and oversold conditions—RSI above 70 suggests buyers may be overextended, while below 30 indicates sellers are exhausted. These conditions increase the likelihood of a rebound or reversal. The second, more powerful function is divergence. For example, if the price makes a new low but RSI fails to do so, this is a bullish divergence, indicating weakening downward momentum and a potential bottom signal. Conversely, if the price hits a new high but RSI doesn't follow, it's a bearish divergence, signaling waning upward strength. But remember: in particularly strong trending markets, RSI can stay in overbought or oversold zones for extended periods. In such cases, you shouldn't simply trade in the opposite direction; you need to consider the overall trend.