Indicator

Support resistance channel

Supply and demand visible

UT Bot Alerts

MA cross

VWAP

CPR by trading direction

TEMA

MACD

RSI

Bollinger Bands

Stochastics oscillator

Fibonacci retracement

ADX( Average directional index)

MACD & Linear regression

Linear regression candle & UT Bot alert

https://www.youtube.com/watch?v=VhMjUKoPwuI

https://www.youtube.com/watch?v=ZjTgyD53NW4

https://www.youtube.com/watch?v=pvKkhhALu0Y&t=38s

https://www.youtube.com/watch?v=Im0H7SK_ZDw

https://www.youtube.com/watch?v=cbzQCDYBDW4
Intraday trading in India has become highly popular among retail
traders looking for quick profits within a single trading session.
To succeed in this fast-moving market, it’s important to use the
best indicator for intraday trading that suits your strategy and
market conditions. Technical indicators like RSI, Bollinger Bands,
MACD, and EMA help traders identify trend direction, price
momentum, and volatility—key factors for making accurate buy
and sell decisions.

In this guide, we’ll explore the top indicators used by Indian

intraday traders in 2025, how they work, and how to combine
them for better results.

Table of Contents

 What are Intraday Trading Indicators?

 List of Technical Indicators for Trading

 Best Indicators for Intraday Trading 2025

 Information Offered by Intraday Indicators

 Best Technical Analysis Tools for Trading

 How to Choose the Best Intraday Trading Indicators?

 Best Indicator for Option Trading

 Intraday Trading Indicator Mistakes to Avoid

 Frequently Asked Questions

o What are the best indicators for intraday trading?

o Why are intraday trading indicators important?

o Which indicator is best for investing?

What are Intraday Trading Indicators?

Intraday trading indicators are essential tools traders use to

analyse and predict market behaviour within a single trading day.
These indicators help traders identify price trends, market
momentum, and potential reversal points. By interpreting these
signals, traders can make informed decisions about when to enter
or exit a trade, thereby maximising their profits and minimising
their risks.
Common intraday trading indicators include Bollinger Bands,
which measure market volatility; the Relative Strength Index
(RSI), which indicates overbought or oversold conditions; and
the Exponential Moving Average (EMA), which smooths out price
data to identify trends more clearly. Each best indicator for
intraday offers unique insights, and when used together, they
provide a comprehensive view of the market’s movements,
helping traders navigate the fast-paced world of intraday trading.

Importance of Intraday Indicator

Intraday indicators are vital because they offer immediate

insights into the stock market's short-term movements.
Unlike long-term trading, intraday trading requires quick
decision-making, and these indicators help traders identify
potential entry and exit points within a single trading day.

1. Real-Time Market Analysis: Indicators like RSI

and MACD provide instant insights into price trends and
momentum, enabling quick decisions.

2. Identifying Trends: Moving averages and trend lines help

traders follow the market's direction, avoiding trades
against the trend.

3. Risk Management: Tools like ATR (Average True Range) and

Parabolic SAR enable traders to set precise stop-loss levels
and lock in profits.

4. Enhanced Prediction Accuracy: Combining indicators

like Bollinger Bands with MACD reduces false signals and
improves trading outcomes.

Also Read: Best Intraday Trading Tips & Strategies | Expert Advice
2025

List of Technical Indicators for Trading

Here are the indicators for day trading in India that every day
trader should know. Each indicator below includes a quick use-
case to match search intent and improve usability.

1. Moving Average Convergence Divergence (MACD)

2. Average Directional Index (ADX)

3. Relative Strength Index

4. Exponential Moving Average (EMA)

 5. Rate of Change

6. Simple Moving Average (SMA)

7. Parabolic SAR

8. On-Balance indicator

9. Volume Price Trend Indicator

10. Bollinger Bands

11. Average True Range (ATR)

12. Aroon oscillator

13. Heikin Ashi

14. Stochastic RSI

15. Stochastic Oscillator

16. KST Indicator

Best Indicators for Intraday Trading 2025

Understanding the best technical intraday trading indicators is

essential for maximising success in fast-paced trading
environments. Below, we delve into intraday traders' most
effective indicators, offering practical applications and examples.
Indicator Use Case

1. Bollinger Bands Volatility + entry/exit signals

2. RSI Overbought/oversold zones

3. EMA Trend detection in price movement

4. MACD Trend + momentum confirmation

5. Parabolic SAR Spotting trend reversals

6. Pivot Points Intraday support/resistance levels

1. Bollinger Bands

Bollinger Bands are a widely-used technical analysis tool created

by John Bollinger. They consist of three lines: the middle band,
which is a 20-day simple moving average (SMA); an upper band,
set at +2 standard deviations from the SMA; and a lower band,
set at -2 standard deviations from the SMA. These bands reflect
the price volatility of a stock. When market volatility is high, the
bands widen, and when volatility is low, the bands contract.

Bollinger Bands
Intraday traders use Bollinger Bands to gauge a stock's price
range and volatility. When the stock price touches the upper
band, it suggests that the stock may be overbought, signalling a
potential sell opportunity. Conversely, when the stock
price touches the lower band, it indicates that the stock may be
oversold, signalling a potential buy opportunity. The continuous
fluctuation of stock prices between the upper and lower bands
helps traders to identify potential entry and exit points.

2. Relative Strength Index (RSI)

The Relative Strength Index (RSI) is one of the best technical

indicator; it is a momentum oscillator that measures the speed
and change of price movements. Developed by J. Welles Wilder, it
ranges from 0 to 100 and helps traders identify overbought and
oversold conditions in the market. An RSI value above 70 typically
indicates that a stock is overbought, suggesting a potential sell
signal, while an RSI value below 30 indicates that a stock is
oversold, suggesting a potential buy signal.

RSI is calculated using the average of upward and downward

price changes over a specified period, usually 14 days. This
calculation helps traders understand the strength of recent price
movements. For intraday traders, RSI can be particularly useful in
identifying potential reversals and entry or exit points.

3. Exponential Moving Average (EMA)

The Exponential Moving Average (EMA) is another highly effective
tool and one of the best trading indicators. Unlike the Simple
Moving Average (SMA), which treats all data points equally, the
EMA assigns more weight to recent prices, allowing it to respond
more quickly to market changes.

Exponential Moving Average

EMAs are particularly helpful for identifying trends and spotting

potential reversals. For instance, when a short-term EMA crosses
above a longer-term EMA, it signals a bullish trend, indicating a
buying opportunity. On the other hand, when a short-term EMA
crosses below a longer-term EMA, it often points to a bearish
trend, signalling a potential sale.

By incorporating the EMA into their strategies, intraday traders

can gain better insights into market trends and efficiently
improve their decision-making for entering and exiting trades.

Read More: 7 Best Indicators for Options Trading in 2025

4. Moving Average Convergence Divergence (MACD)

MACD (Moving Average Convergence Divergence) is a widely used

momentum indicator in intraday trading. It tracks the difference
between the 12-day and 26-day Exponential Moving Averages
(EMA) of a stock's price. This difference forms the MACD line. A
separate 9-day EMA, known as the signal line, is then plotted on
top to generate buy and sell signals.
Moving Average Convergence Divergence

For intraday traders in India, MACD helps spot trend direction and
momentum changes.

 When the MACD line crosses above the signal line, it gives
a bullish signal, suggesting a possible buying opportunity.

 When it crosses below, it indicates a bearish signal, pointing

to a potential sell opportunity.

MACD works best in trending markets like Nifty or large-cap

stocks, helping traders time entries and exits based on
momentum strength.

5. Parabolic SAR

The Parabolic SAR (Stop and Reverse) is one of the best

indicators for intraday used to identify the direction of an asset's
momentum and potential reversal points. It appears as a series of
dots above or below the price chart: dots below indicate an
uptrend, while dots above indicate a downtrend. As the trend
continues, the dots move closer to the price, signalling a
potential reversal when they cross over.

Intraday traders use the Parabolic SAR to set trailing stop-loss

orders. This method allows them to lock in profits as the price
moves favourably, with the stop-loss level adjusting dynamically.
The Parabolic SAR is especially useful in trending markets,
helping traders stay in profitable trades longer and exit at
optimal points.
Parabolic SAR

In this chart, you can see how the Parabolic SAR dots indicate the
direction of the trend. During an uptrend, the dots are below the
price, signalling traders to hold or enter long positions. As the
price rises, the dots move closer, providing a trailing stop level.
When the trend reverses, the dots switch to above the price,
signalling traders to exit long positions or consider short
positions.

6. Pivot Points

Pivot Points are one of the best indicators for intraday trading,
helping traders identify potential support and resistance
levels within the market. These levels are derived from the
previous day's high, low, and closing prices, offering a valuable
guide for spotting trends and predicting possible market
reversals.
Pivot Points

The central Pivot Point is calculated as the high, low, and close
average from the prior trading day. From this point, additional
support (S1, S2) and resistance (R1, R2) levels are determined,
giving traders a broader view of price movement possibilities.

To use Pivot Points effectively, traders plot these levels on charts

and monitor how prices interact with them. If the price stays
above the central Pivot Point, it signals bullish momentum and
potential buying opportunities. Conversely, bearish sentiment
may prevail when the price dips below Pivot Point, indicating
potential selling opportunities. This indicator is particularly useful
for making quick decisions in fast-paced trading environments.

Information Offered by Intraday Indicators

Intraday indicators provide crucial information that helps traders

make quick and informed decisions. They offer insights into:

1. Market Trends: Indicators like moving averages and trend lines

show the market's overall direction, helping traders align their
strategies with the current trend. They make it easier to spot
reversals before they happen.

2. Volatility: Tools like Bollinger Bands and ATR measure market

volatility, indicating potential price swings and helping traders
manage risk. Volatility insights guide entry and exit timing.
3. Momentum: Oscillators such as RSI and MACD gauge the
strength and speed of price movements, signalling potential
entry and exit points. Momentum indicators are vital in
identifying short-term opportunities.

4. Volume Analysis: Indicators like volume and On-Balance-Volume

(OBV) track trading activity, confirm price trends, and identify
potential reversals. High-volume trends often signify stronger
price moves.

Best Technical Analysis Tools for Trading

Technical analysis tools are essential for intraday traders to

analyse market conditions and make informed decisions. These
tools help traders interpret price data, identify trends, and
develop effective strategies.

1. Charting Software: Platforms like TradingView and MetaTrader

allow traders to visualise price movements, customise charts, and
apply various indicators, providing a clear view of market trends.
Lakshmishree offers access to premium TradingView charts, which
support multiple indicators within a single chart.

2. Trend Lines: Drawing trend lines on price charts helps identify

the market direction, support, and resistance levels, guiding
entry and exit points.

3. Support and Resistance: Support is a price level where a stock

tends to find buying interest, preventing it from falling further.
Resistance is a price level where a stock tends to find selling
interest, preventing it from rising further.

4. Candlestick Patterns: Patterns like doji and hammer provide

insights into market sentiment and potential reversals, helping
traders anticipate price movements.

5. Fibonacci Retracement: This tool plots horizontal lines at

key Fibonacci levels, indicating potential support and resistance
levels where price corrections may occur.

How to Choose the Best Intraday Trading Indicators?

To choose the best intraday trading indicators, consider market

trends, your trading time frame, and the type of strategy.
Combining tools like EMA with RSI can reduce false signals and
improve entry-exit timing. Always backtest your setup before
using it in live trades. If you’re new to trading, having a
reliable Demat Account is equally important for fast execution
and order tracking.

Here are the most important factors to keep in mind:

 Market Conditions: Different indicators perform better in

different market situations.

o Use trend-following indicators (like Moving Averages)

in trending markets.

o Use oscillators (like RSI or Stochastic) in sideways or

range-bound markets.

 Combine Multiple Indicators: Using two or more indicators

helps filter out false signals.

o Combine EMA (trend) with MACD (momentum) for

stronger confirmations.

o Combine Bollinger Bands with RSI to catch volatility-

based reversals.

 Match with Your Trading Time Frame: Choose indicators that

match your intraday trading style:

o Scalpers may prefer faster indicators like Bollinger

Bands or 5-period EMA.

o Positional intraday traders may go with a 20-period

SMA or VWAP for broader signals.

 Backtesting and Optimisation: Don’t jump into live trading

with an untested setup.

o Backtest each indicator on historical intraday data.

o Optimise indicator parameters (e.g., EMA period

length) to suit the volatility of NSE stocks.

Best Indicator for Option Trading

For options trading, technical analysis is crucial in identifying

profitable opportunities. Choosing the best indicator for option
trading can help traders decide when to enter or exit options
contracts. Below are some of the most effective indicators for
option traders:
  Implied Volatility (IV): A key indicator for options traders, IV
helps estimate the future volatility of an asset, which is
essential for determining the price of options.

 Relative Strength Index (RSI): RSI is used to identify

overbought and oversold conditions, helping option traders
predict potential reversals and spot good entry points.

 Moving Average Convergence Divergence (MACD): MACD is

widely used to spot trend changes and momentum; it is also
considered as the best indicator of swing trading, which is
vital for timing option entries and exits.

 Bollinger Bands: These bands help assess market

volatility and potential price breakouts, assisting option
traders in identifying optimal strike prices and expiration
dates.

 Open Interest and Volume: These indicators provide insights

into market activity and liquidity, which are crucial for
options traders to gauge market sentiment.

By incorporating these indicators, option traders can enhance

their decision-making process, manage risk, and improve their
overall trading strategy.

Also Read: Best Intraday Trading Tips & Strategies | Expert Advice
2025

Pros and Cons of Using Technical Indicators

When selecting the best indicators for intraday trading, it's

essential to weigh their advantages and limitations:

Indicator Pros Cons

Bollinger Bands Measures volatility Can give false signals

Indicator Pros Cons

effectively, highlights in range-bound

potential breakouts. markets.

Relative
Helps identify overbought Less effective in
Strength Index
and oversold conditions. trending markets.
(RSI)

Exponential Responds quickly to recent

Prone to noise and
Moving Average price changes, ideal for
false signals.
(EMA) trending markets.

Combines trend-following Delayed signals in

MACD
and momentum features. volatile markets.

Works best in trending

Provides clear stop-
Parabolic SAR markets, not in choppy
loss levels.
conditions.

Intraday Trading Indicator Mistakes to Avoid

Many traders misuse indicators and end up with false signals.

Here's what to avoid while trading intraday in India. These
common mistakes can lead to poor entries, late exits, and
unnecessary losses even with the best intraday trading
indicators:

 Mistake 1: Ignoring Risk Management: Even if your indicator

confirms a strong signal, not placing a stop-loss can wipe
out capital during sudden reversals in Nifty or Bank Nifty.

 Mistake 2: Relying on a Single Indicator: Using only RSI or

MACD without confirming with other tools often gives
misleading signals. It's always better to combine 2–3
complementary indicators.

 Mistake 3: Ignoring Market Context: Using a trend-following

tool like EMA in a sideways market leads to false entries.
Always match the indicator type with the market condition —
trending or range-bound.

 Mistake 4: Overloading Charts with Indicators: Adding too

many tools makes your chart confusing and may trigger
 conflicting signals. Stick to a clean setup with focused
analysis.

Conclusion- Best Intraday Indicator

Using technical indicators wisely is key to making fast and smart

intraday trading decisions. Tools like RSI, Bollinger Bands, MACD,
and EMA help identify momentum shifts, trend direction, and
volatility setups. But no single tool works in isolation. For better
results, combine two or more complementary indicators, match
them with market conditions, and test your strategy in a demo
environment before going live. Stick to your risk rules and stay
consistent — that’s how you grow in the fast-moving world of day
trading in India.

💡 Want to practice live trading with these tools?

Open your free Lakshmishree Demat account and get access to
real-time charts, expert research, and faster order execution.

Frequently Asked Questions

1. What are the best indicators for intraday trading?

The best indicators for intraday trading include Bollinger Bands,

Relative Strength Index (RSI), Exponential Moving Average
(EMA), Moving Average Convergence Divergence (MACD), and
Volume. These indicators are best for trading to help traders
identify trends, measure momentum, and gauge market volatility.

2. Why are intraday trading indicators important?

Intraday trading indicators are important because they show live

price action, trend strength, and momentum. They help intraday
traders make fast, informed decisions and reduce the risk of
emotional or delayed entries.

3. Are intraday trading indicators reliable?

Intraday indicators can be reliable when used with proper

strategy. No indicator is 100% accurate. Combining multiple tools
and applying strict risk management improves reliability in
volatile intraday markets.

4. Which indicator is best for investing?

For long-term investing, indicators like the Simple Moving

Average (SMA) and Exponential Moving Average (EMA) are often
used to identify long-term trends. These indicators help investors
decide when to buy or sell based on overall market direction.
 5. How do Bollinger Bands work?

Bollinger Bands are a volatility-based indicator that uses a 20-day

simple moving average (SMA) and two outer bands. They help
intraday traders identify overbought or oversold conditions and
forecast breakout potential.

6. Are there 100% accurate intraday indicators?

No intraday indicator guarantees 100% accuracy. While tools

like Bollinger Bands and RSI are helpful, market conditions can
change, so combining indicators and managing risk effectively is
important.

Disclaimer: This article is for educational purposes only and

should not be considered financial advice. Always conduct your
research and consider consulting with a financial advisor before
making any investment decisions.

Related posts:

Best Intraday Trading Tips & Strategies | Expert Advice 2025

Fibonacci Retracement Levels Explained: Golden Ratio

What Is Swing Trading with Example?

Share on Facebook

Tweet

Follow us
Written by Ayush Maurya

Ayush is a seasoned financial markets expert with over 3years of

experience. He has a passion for breaking down complex financial
concepts into simple, digestible terms. Through his 50+ articles,
Ayush has helped countless individuals navigate the often
intimidating world of finance.

All Posts

Learn Trading

Shooting Star Candlestick Pattern: How to Trade

April 29, 2025

Best Time Frame for Swing Trading in 2025

April 2, 2025
Open Your Trading Account

Submit

Social Share

Subscribe to Our Newsletter

Name*

Email*

Categories
  Basics (108)

 Commodities (26)

 Currency (2)

 Daily Stock Market Outlook (235)

 Derivatives (2)

 Equities (29)

 Investment Learnings (19)

 IPO (78)

 Market News (31)

 Mutual Funds (16)

 Stock Market Today (4)

 Trading (33)

RECENT POSTS

 List of Navratna Companies in India 2025 – Latest Update

 Stock Market Today

 Top 10 Pharma Companies in India 2025

 Top 10 Most Expensive Shares in India [2025 List]

 6 Best Indicators for Intraday Trading India 2025

CIN No U74110MH2005PLC157942 | Member Ship Details |

BSE-3281 | NSE-12817 | MCX-55910 | DP:IN-DP-CDSL-
490-2008 | DPID:12059100 | SEBI Regn. No.:
INZ000170330 | Mutual Fund: ARN-77739 | Research
Analyst: registration number INH000014395

Lakshmishree Investment & Securities Ltd. was incorporated in

2005. We are a Corporate Member of NSE, BSE, MCX and
Depository Participant with CDSL.
LISL

About UsProductsDownloadsBlogInvest NowHelp & Support

Calculators

Margin CalculatorBrokerage CalculatorSIP CalculatorSIP Planner

Services

EquityDerivativesCommoditiesCurrencyMutual
FundInsuranceIPODP

Resources

Mutual Fund BeginnersLearn Stock MarketContact Us

Most Popular in LISL

Stock Market Indices:

S&P BSE SensexS&P BSE 100Nifty 100Nifty 50Nifty Midcap

100Nifty BankNifty Next 50

Important Links:

NSEBSETerms & ConditionsPolicies & ProceduresRegulatory &

Other InfoPrivacy PolicyDisclosureSecurity

Copyright @ 2024 © Lakshmishree Investment & Securities Ltd.

All Right Reserved.

Website Designed & SEO done by KV TechMedia - Web Design

Company Uttar Pradesh, India