Lesson 12 of 12 · 6 min

Combining Indicators

Less is More

Using too many indicators creates "analysis paralysis." The key is selecting 2-4 indicators that provide different information and waiting for them to align.

A Balanced Indicator Set

Recommended Combination:
1. Trend: Moving Averages (SMA/EMA)
2. Momentum: RSI or MACD
3. Volatility: ATR or Bollinger Bands
4. Volume: OBV or MFI

Wait for 3+ indicators to agree before acting.

Tip

SUTOK already combines these indicators and weighs their signals. The score and bias reflect the aggregate analysis.

Watch out

Avoid using indicators that show the same thing: RSI + Stochastic + MFI all show momentum. Pick ONE from each category.

Key takeaways

  • Use 2-4 indicators from different categories
  • Wait for confluence (multiple indicators agreeing)
  • Avoid redundant indicators
  • SUTOK combines indicators automatically