Which indicators could help better for noise filtering in trading?

<p id="isPasted">FiboBars</p><p>This indicator is used to remove noise in the price chart. In its logic, it uses the Fibonacci number. To adjust the noise level, there is a "period" field in the settings. The higher the period value, the more noise the indicator absorbs.</p>

<p>If you are most comfortable with candlestick charts and find it confusing to use other charts, there are some indicators that can help you cut out market noise.&nbsp;</p><p>You may already be familiar with Moving Averages (MAs), Exponential Moving Averages (EMAs) and Moving Average Convergence Divergence (MACD). The good news is that these easy-to-use indicators can help you make trading decisions during periods of high volatility. MAs smooth out price data by averaging it over a specific period. During higher market volatility, you can use MAs with longer timeframes, like the 200-period MA. EMAs give more weightage to the latest prices. This helps you respond better to current price fluctuations, while still focusing on a smoothed chart.</p><p>MACD is a momentum indicator. It shows the relationship between two moving averages. This helps to spot:</p><ul><li>trend direction</li><li>shift in momentum&nbsp;</li><li>potential entry and exit points</li></ul><p>Let’s look at some indicators that are not very commonly used but are good tools when trading amid high market volatility.&nbsp;</p><p>Average Directional Index (ADX) is used to measure the strength of a trend. A rising line shows a strengthening trend, and a declining one depicts a weakening trend. A relatively horizontal line shows market noise, or price movements that are not based on any trend. This way, ADX helps you differentiate between trends and noise in a very simple way.&nbsp;</p><p>There are two volume indicators, On-Balance Volume (OBV) and Accumulation/Distribution Line (A/D), that help you confirm trends and spot divergences. When an OBV or A/D rises along with a rise in price, it confirms an uptrend. If the indicator declines and the price falls, it confirms a downtrend. What does a divergence show? If the price is rising to new highs but the volume indicator is declining, it signals a potential reversal.</p>