Technical indicators should be organized by category to avoid using too much from the same category. Below is a breakdown of some of the available indicators, and we should create categories like this:

The best way to quickly determine if an indicator has multiple collinearities with another is to open them up on the chart. If they both increase and decrease essentially the same in the same areas, then there is a high chance that they are multicollinear to each other and you should use only one of them.

The chart above shows some examples of multicollinearity indicators together. Note that all three indicators basically give us the same information. If your analysis thinks that this is supportive information, you have fallen into the MULTIPLAYER TRYCH. What does this mean? Assuming we are seeing the RSI in an overbought position, we decide to sell (let's say bro). Then we open up more CCI and Wm% R, which both indicate that the market is overbought. Brothers begin to think: "Oh! It's great that all 3 indicators are overbought, so they complement each other, SELLING STRONG !!!!". That is the MULTIPLAYER trap, since all 3 indicators are oscillating indicators, and they all provide similar information, so the 3 indicators above DO NOT SUPPORT DIFFERENT. In fact, for the information to be SUPPORTED each other they must come from different news sources. Taking the above example, when the RSI indicator is overbought, you decide to sell down, at the same time the price creates a pin bar, for example, then the MA indicator starts to slope down and makes crosses - at this time, our information will have COMMUNITY and SUPPORT! We have 3 different sources, which is PRICE ACTION, MOVEMENT indicator, and Trend indicator, they all point to the same result, this result is ADDITION, not a trap. MULTIPLAYER as above.

Below is an example of non-linear or non-MULTI-CONLLINEAR indicators. The information we get from the indicators is NOT DIFFERENT and when interpreted correctly, each gives different information. It may or may not support each other, but if they do, we have a more certain belief:


If you are randomly selecting indicators to support your analysis, you are more likely to fall into a MULTIPLAYER SAMPLE using multiple indicators that provide the same information. They do not give us any additional information but in fact, limit our overall view of the market. DO NOT SEARCH INFORMATION BETWEEN ONLINE MULTIPLAYER INDICATIONS; Although it sounds attractive, they will lead to disgust!