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What are Indicators?

In finance and especially when we are talking about investing, an indicator helps investors to make an informed decision whether to buy or sell a security or equity.

Indicators are considered backward looking as they are a series of mathematical calculations of past data that determines where the stock is likely to go in the future.

Indicators are very popular with day traders and long-term investors who invest in various markets and financial instruments.

Example of indicators are Moving Averages, Stochastic, MACD, etc.