out of these indicators i can only use 2 which would u recommend for high returns and how to use sucessfully

To help you choose the best two indicators for high returns, it's important to focus on those that can provide actionable insights while minimizing risk. Here are two commonly used indicators that you might consider: ### 1. Moving Averages (e.g., SMA or EMA) Moving averages smooth out price data to identify trends over a specific period. The most commonly used types are the Simple Moving Average (SMA) and the Exponential Moving Average (EMA). **How to Use Effectively:** - **Identify Trend Direction:** Use a longer-term moving average (like the 50-day or 200-day) to determine the overall trend. If the price is above the moving average, it suggests a bullish market; if below, a bearish market. - **Crossovers:** Look for crossovers between different moving averages (e.g., a 50-day EMA crossing above a 200-day EMA may signal a buying opportunity). - **Support/Resistance Levels:** Moving averages can also serve as dynamic support and resistance levels. Prices often react at these levels. ### 2. Relative Strength Index (RSI) The RSI is a momentum oscillator that measures the speed and change of price movements on a scale from 0 to 100. It helps identify overbought or oversold conditions. **How to Use Effectively:** - **Identify Overbought/Oversold Conditions:** An RSI above 70 typically indicates that an asset is overbought (potential sell signal), while an RSI below 30 suggests it is oversold (potential buy signal). - **Divergence:** Look for divergence between the RSI and the price action. For instance, if the price reaches a new high but the RSI does not, it might indicate a potential reversal. - **Trend Confirmation:** Use RSI readings alongside the direction of moving averages to confirm trends. If both indicators signal the same direction, it can increase the likelihood of a successful trade. ### Combining Indicators - **Confirmation:** Use the moving average to determine the trend and the RSI to identify entry and exit points. For example, if the price is above the moving average (bullish trend) and the RSI is indicating oversold conditions, it may be a good entry point. - **Risk Management:** Always have a risk management strategy in place. Use stop-loss orders to protect your capital and consider position sizing based on your risk tolerance. ### Final Thoughts Successfully using these indicators involves backtesting your strategy, understanding market conditions, and being disciplined in your approach. Always stay updated with market news and global events, as external factors can greatly influence price movements.