Article

What are technical indicators and how do you use them?

April 13, 2026

Technical indicators are tools calculated from price and volume data that help you read the chart in more detail. On Paribu, you can add six different technical indicators to the chart from the indicator bar below the candle chart.

What is an indicator and an oscillator?

Technical indicators fall into two general groups: indicators and oscillators. Which one you use depends on whether you want to track the direction of the market or its momentum.

Indicator: Tools that help you analyse the direction, trend or volatility of price. Moving averages and Bollinger bands fall into this group.
Oscillator: Tools that measure how price oscillates within a defined band (usually between 0–100) and help detect overbought / oversold zones. RSI and MACD fall into this group.

Which indicators are available on Paribu?

Paribu offers six technical indicators that can be added to the candle chart. Each indicator can be turned on and off with a single tap from the indicator bar below the candle chart.

Indicator	Type	Used for
VOL	Indicator	Shows trading volume
RSI	Oscillator	Detects overbought / oversold zones
EMA	Indicator	Moving average that gives more weight to recent prices
MA	Indicator	Moving average that shows the average price over a period
BOLL	Indicator	Bands that show price volatility
MACD	Oscillator	Measures momentum and trend changes

VOL (volume)

Shows the trading volume below the candle chart as vertical bars. Each bar represents the total trading volume for the corresponding time slice. High volume indicates that the price move in that period took place with strong participation.

RSI (relative strength index)

Measures the recent upside and downside momentum of the price with a value between 0–100. The general interpretation: levels above 70 are considered overbought, levels below 30 are considered oversold. When you turn on RSI, a separate panel opens below the candle chart.

EMA (exponential moving average)

An indicator that averages the closing prices of a given period but gives more weight to recent prices. It reacts to price changes faster than the simple moving average. On Paribu, the EMA line is shown in pink.

MA (moving average)

Shows the arithmetic average of the closing prices over a given period. Used to assess the general trend direction. On Paribu, the MA line is shown in blue.

BOLL (Bollinger bands)

Consists of three bands drawn above and below the moving average based on standard deviation. Price moving outside the bands indicates increased volatility, while bands narrowing indicates reduced volatility. On Paribu, Bollinger bands are shown in orange.

MACD (moving average convergence divergence)

Measures price momentum and trend changes by showing the difference between two moving averages with different periods. The MACD line crossing above the signal line can be interpreted as a buy signal, and crossing below as a sell signal. When MACD is activated, a separate panel opens below the candle chart.

How to add or remove an indicator?

To add indicators, switch to candle chart view on the chart screen in the Paribu app. The horizontally scrollable indicator bar below the candle chart contains the VOL, RSI, EMA, MA, BOLL and MACD buttons. The indicator you tap is added to the chart; the active indicator's button appears highlighted. To remove the indicator, tap the button again.

Note: The indicator bar appears only with the candle chart type. Technical indicators cannot be added to line and depth charts

You can activate more than one indicator at the same time. For example, when both MA and EMA are on, you may see two moving average lines in different colours over the chart.

Important information

Technical indicators are calculated from past price data and do not provide a definitive forecast of the future
Indicator results are not investment advice; it is recommended that you do not base your trading decisions on indicators alone
Using an excessive number of indicators at the same time can make the chart harder to read; usually a few indicators suited to your purpose are enough
Indicator calculations vary by the selected time frame; the same indicator gives different values on a 15-minute chart versus a 1-day chart

Frequently asked questions

Which indicator should I use and when?

Use MA or EMA to see the trend direction, BOLL to measure volatility, RSI to detect overbought / oversold zones, MACD to track momentum and trend changes, and VOL to see trading volume.

Why can I not see the indicator bar?

The indicator bar appears only with the candle chart type. Indicators cannot be used while the line chart or depth chart is selected. Once you switch the chart type to candle chart, the indicator bar becomes visible.

Can I use multiple indicators at the same time?

Yes. You can activate different indicators at the same time; each one appears in a different colour or in a separate panel on the chart. However, using too many indicators can make the chart harder to read.

What does RSI above 70 or below 30 mean?

Values above 70 generally indicate that the market is in the overbought zone, while values below 30 indicate the oversold zone. These levels can be considered potential reversal points; however, in strong trends RSI may stay in these zones for a long time.

What is the difference between MA and EMA?

MA (moving average) gives equal weight to all prices in a given period, while EMA (exponential moving average) gives more weight to recent prices. EMA reacts to price changes faster, while MA shows a smoother trend.