#数字资产行情上升 Beginner's Must-Read: Five Major Trading Indicators to Help You Avoid Detours

Entering the crypto trading world, the easiest pitfall to fall into is blind operation. Today, I want to talk about those technical indicators that you can actually use—not just theoretical jargon, but practical tools that can help you survive in the market.

**Simple Moving Average (SMA)**

Let's start with the basics. SMA is calculated by adding up the prices over a certain period and dividing by that number, straightforward but effective. Beginners find the 5-day and 10-day SMAs easiest to grasp, used to capture short-term fluctuations. For example, if you observe a coin and the 5-day SMA is rising, it usually indicates that recent buying pressure is steadily increasing, giving you at least some confidence.

**Relative Strength Index (RSI)**

This indicator helps determine whether the market is overheated or too cold. An RSI above 70 suggests the buyers are a bit crazy, and a correction might be coming; below 30 indicates sellers are overdoing it, and a rebound could be on the horizon. But the key is—don't just blindly look at the numbers. Use RSI in conjunction with price movements; otherwise, you risk getting trapped.

**Fibonacci Retracement**

This is a powerful tool for predicting reversal points. It identifies key support and resistance levels based on Fibonacci ratios. When the price reaches certain levels, it often bounces or breaks through. Especially during sideways markets, it can help you quickly lock in target prices.

**Moving Average Convergence Divergence (MACD)**

MACD is a great helper for spotting trend changes, signaling through crossovers of two moving averages. When the lines cross, it’s usually a buy or sell signal. However, this indicator has a lag, making it more suitable for medium to short-term trading. For ultra-short-term trades, it might react too slowly.

**Volume Indicators**

Price movements are driven by trading volume. High volume indicates high market participation, making price changes more meaningful; low volume with rising prices often signals a false breakout. Developing a habit of watching volume can help you avoid many fake breakouts.

**Practical Tips**

These five indicators are not inherently strong or weak; their effectiveness depends on how you combine them. For example, use SMA to confirm trend direction, RSI to identify overbought or oversold conditions, MACD to find entry points, and volume for confirmation—such combinations can significantly improve your win rate. But don’t forget, no indicator is perfect. Markets always have surprises. Therefore, always set stop-losses and manage risks properly to survive long-term in the market.

There are no shortcuts—only continuous learning and adjustment. These indicators are just tools; the real determinants of success or failure are your mindset and execution.