It has a lot to do with how you plan to enter and exit trades. There are traders who believe the indicators can guide them. Signal services may have shown them this indicator and concluded it would work. Others ignore the indicator at all and enter trades based solely on trends and volatility. They will, however, have a different approach to trading than traders who view trading psychology as an integral part of their strategy.

Market trading psychology is the study of how people's emotions affect their decisions to buy or sell stocks. Market traders know that their own psychology can be the best indicator of the market's next move. The trader will often act on how they feel, which can lead to either an emotional purchase or sale.