LEADING VS LAGGING Indicators

Updated
#Lagging

A specific indicator that tells us the last price interaction.

Pros:

=> Confirmation of new trend in the market
=> Signal is launch after the movement
=> Most of the times is helpful as a confirmation

Cons:

=> Most of the times the confirmation or signal is too late
=> Produce false entries
=> The interpretation could vary in specific movements

Examples:
-- #MACD, #RSI, #Moving_Average, #Volume, #ADX, #Ichimoku_Cloud, #Heiken_Ashi

#Leading

A specific indicator that predicts potential reversal or multiple-confluence levels.

Pros:

=> Tell us key levels in the market
=> Potential perfect entries could be done
=> Easy to learn and interpreat

Cons:

=> Unexperencied trades miss understanding the art of prediction
=> Needs a lot of practice or backtesting
=> The interpretation could be relative

Examples:
-- #Pivot_Point, #ADR, #ATR, #Previous_HIGH_LOW.

There no exist a perfect indicator, but the confluence of some indicator and with the correct knowledge and practice is really simple to be profitable in the market.
I highly suggest u to #BackTest minimum #One_Year time each indicator u want to use.

Good Luck,
Anderson.
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MACD - RSI
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MOVING AVERAGE - VOLUME

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ADX - ICHIMOKU CLOUD

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PIVOT POINTS - HEIKIN ASHI

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PREVIOUS HIGH/LOWS ANALYSIS

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ATR ANALYSIS

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ADR

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TD SEQUENTIAL

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Beyond Technical AnalysisChart Patterns

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