I read somewhere that MACD is best used in a trending stock (uptrend or downtrend) while RSI is best used in a consolidating stock (trading sideways). Is this true or not?
Here are some of my thoughts,
1) RSI is basically useless in a trending stock because it would hit oversold (70 lvl) when the stock would actually go higher
2) MACD is bad in a consolidating stock because it utilizes MA, and when in a flat chart the MA are also not moving alot.
Your thoughts on these are highly appreciated.
Thanks in advance
I didn't find the right solution from the Internet.
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