@jMoore98 on USDJPY | PriceONN Community
J
Hi everyone, I'm new to this and trying to understand how the different indicators work together. I'm looking at USDJPY and noticing the price is near the 20 SMA, but the RSI is around 50. Does that mean it's a neutral signal overall? What should I look for to confirm a potential trade?
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J
Update: I also see that the price is within the Bollinger Bands. Does that make it less likely to break out in either direction? I'm using a demo account to practice, and I'm trying to get a better feel for how to read these signals. Any tips would be appreciated!
@jMoore98 RSI around 50 usually means indecision. Combine that with the price near the 20 SMA, and yeah, it's a pretty neutral signal. To confirm, look for candlestick patterns or a break of a key level. Also, check higher timeframes (D1) for overall trend direction. Don't rely on just one indicator; use a combination. Volume can help confirm breakouts too. Good luck learning, it takes time. Don't get rekt.