What are the best indicators for following trend in cryptotrading?

[UmerIdrees]

I'm developing my strategy for trend trading and I'm trying to figure out what are the best indicators to catch a trend. Currently now I'm using MFI, but I doubt that it is suitable for cryptocurrency trading, so i will appreciate it if you give me a hint. Thank you in advance!

I would not advise you to go for any indicator to determine the trend of the market. Usually, if you know the price action, and you are able to mark the high and low plus the support and resistance of the market, then it is very easy for you to identify the trend of the market.

In general, you should know that price never moves in a complete upward or downward direction in a straight line. If the price action is making higher highs and higher lows then we are in an Uptrend and if the price is making a lower lows and lower highs, then we may call this as a market in an uptrend. Once you identify the trend, then it is important that you also know how to trade a trending market.

[1715288967]

1715288967

[1715288967]

1715288967

[justdimin]

There are various analyzes in trading, such as MACD, RSI and many more.  Using just one indicator will lead you to a dead end.  Each analysis is a separate method, and has a different probability value.  You should try some and conclude for yourself how they work.  You have to be dynamic, using certain methods for certain cases.  Trading is not something that can be simply suggested, everyone has different views and may be wrong several times.  Building your own style is important in trading.  You have to analyze based on your data so that you will not worry about your decision.  You have to be able to see the trend so you can follow it and you will win. Some think that you can see on Youtube, can't always easy like their said. You must try with your hands to proof it.

This is the right answer, there are no people who could figure something out from just a single indicator, and if they say that they can then they are lying. There are so many ways to look at the market and so many ways to confirm what you looked at. Not only you should use multiple indicators but you should use multiple more to confirm what you think is true as well.

This may slow you down, and it may look like you are too late to everything, but when you are certain then you are certain which would make you a lot more money. It is not really about being fast, some people like being fast and they do make more money and quicker when they are right but also they are the ones who will end up making a loss a lot more often.

[R100K-Martin-Lunger]

I'm developing my strategy for trend trading and I'm trying to figure out what are the best indicators to catch a trend. Currently now I'm using MFI, but I doubt that it is suitable for cryptocurrency trading, so i will appreciate it if you give me a hint. Thank you in advance!

For trend trading in cryptocurrencies, I would recommend the Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI), alongside your Money Flow Index (MFI). MACD helps identify momentum and trend direction, while RSI indicates overbought or oversold conditions. Also consider adding Exponential Moving Averages (EMAs). They can help you understand trend strength by smoothing price fluctuations. This combination offers a solid framework for capturing trends, which is essential in the fast-paced crypto markets. Balancing these indicators can improve your decision-making, while providing insights beyond what MFI alone can provide.
If you would like to discuss this further, you can contact me via my Discord: https://discord.gg/dCvaBZWNcG

[TheUltraElite]

I'm developing my strategy for trend trading and I'm trying to figure out what are the best indicators to catch a trend. Currently now I'm using MFI, but I doubt that it is suitable for cryptocurrency trading, so i will appreciate it if you give me a hint. Thank you in advance!

I would not say that a single indicator is best to catch the trend, use RSI, MACD and the others too but dont depend on them too much, see the charts and how they have been performing over the days and use that to make the prediction. Remember that no indictor is 100% correct and each is applicable in a different context.

Every other day you might find a new thread in this section saying that they found this indictor as perfect or today they found this as perfect. It only shows that there is nothing called a perfect or best indicator.

[R100K-Martin-Lunger]

There are various analyzes in trading, such as MACD, RSI and many more.  Using just one indicator will lead you to a dead end.  Each analysis is a separate method, and has a different probability value.  You should try some and conclude for yourself how they work.  You have to be dynamic, using certain methods for certain cases.  Trading is not something that can be simply suggested, everyone has different views and may be wrong several times.  Building your own style is important in trading.  You have to analyze based on your data so that you will not worry about your decision.  You have to be able to see the trend so you can follow it and you will win. Some think that you can see on Youtube, can't always easy like their said. You must try with your hands to proof it.

This is the right answer, there are no people who could figure something out from just a single indicator, and if they say that they can then they are lying. There are so many ways to look at the market and so many ways to confirm what you looked at. Not only you should use multiple indicators but you should use multiple more to confirm what you think is true as well.

This may slow you down, and it may look like you are too late to everything, but when you are certain then you are certain which would make you a lot more money. It is not really about being fast, some people like being fast and they do make more money and quicker when they are right but also they are the ones who will end up making a loss a lot more often.

I completely agree that success in cryptocurrency trading hinges not on rapid actions but on well-informed and deliberate decisions. Employing various indicators to confirm analyses enhances trade accuracy, reducing risk and leading to steadier gains. This careful, validated approach, prioritizing depth over speed, can ultimately prove to be more beneficial for achieving consistent profitability, and effectively manage the balance between quick wins and sustainable success.

[Rehan Zakir]

One indicator cannot gives you the exact result. You can use multiple indicators to verify the trend. And if all indicators sows the same result. It means you can choose this trend to open a trade. If all indicators that the market is in oversold position then take a long position and if the indicators says the market is in over bought condition then open a short position.

[Bravut]

I don't use indicators personally
But would recommend you use leading indicators than lagging indicators but you shouldn't rely solely on it to determine any of your move in the market,it should be treated as a confluence not a determinant.
This would go a long way shaping your trading style.

[South Park]

One indicator cannot gives you the exact result. You can use multiple indicators to verify the trend. And if all indicators sows the same result. It means you can choose this trend to open a trade. If all indicators that the market is in oversold position then take a long position and if the indicators says the market is in over bought condition then open a short position.

That would seem like a good option but it is not, the reason for this is that by the time all the indicators you have selected indicate that a particular trend is present, most if not all of the trend is already over and you have no chance of taking advantage of it anymore, so this idea that our trading risk can be diminished in this way is not wrong, but by decreasing the risk you are also decreasing the size of your wins, so this idea is too conservative and unprofitable for my tastes.