On which basis the indicator combos should be made?

<p id="isPasted">Indicator combinations should be based on the type of information they provide and how they complement each other, rather than on simply matching signals. Successful traders aim to use a few complementary indicators to filter false signals and enhance accuracy.&nbsp;</p><p>Key principles for creating effective indicator combinations:</p><p>Complementary Information:</p><p>Choose indicators that offer different perspectives on the market, such as trend, momentum, and overbought/oversold conditions.&nbsp;</p><p>Signal Confirmation:</p><p>Indicators should confirm each other, rather than simply duplicating signals.&nbsp;</p><p>Trading Style:</p><p>Select indicators that align with your trading style and the specific market you're trading.&nbsp;</p><p>Avoid Overcomplicating:</p><p>Focus on a few key indicators that provide valuable information rather than using too many.&nbsp;</p><p>Backtesting:</p><p>Test your indicator combinations on historical data to evaluate their effectiveness.&nbsp;</p><p>Examples of effective combinations:</p><p>Trend Confirmation: Using Moving Averages with MACD to confirm trend direction.&nbsp;</p><p>Overbought/Oversold Identification: Combining RSI with Bollinger Bands to identify potential trading opportunities.&nbsp;</p><p>Trend Strength and Momentum: Using ADX (Average Directional Index) with RSI to assess trend strength and momentum.&nbsp;</p><p>By focusing on these principles and testing your combinations, you can create powerful trading systems that improve accuracy and profitability.&nbsp;</p>