Leading vs. Lagging Indicators

We've already covered a lot of tools that can help you analyze potential trending and range bound trade opportunities. Still doing great so far? Awesome! Let's move on.
In this lesson, we're going to streamline your use of these chart indicators.
We want you to fully understand the strengths and weaknesses of each tool, so you'll be able to determine which ones work for you and which ones don't.
Let's discuss some concepts first. There are two types of indicators: leading and lagging.
A leading indicator gives a signal before the new trend or reversal occurs.
A lagging indicator gives a signal after the trend has started and basically informs you "Hey buddy, pay attention, the trend has started and you're missing the boat."
You're probably thinking, "Ooooh, I'm going to get rich with leading indicators!" since you would be able to profit from a new trend right at the start.