they r a good indicator. when you are anxiety. when you are worried. when you are nervous - no matter in or out of a trade::: dont trade. close the position you are nervous about.
it can be out of these reasons:
position too big
nervous about upcoming news event paired with too little margin to withstand spikes
when you have open positions and dont think about them. dont get nervous when not watching chart. dont get anxiety etc- hold that position open.
it means your subcautions sees no danger
you are sure of your direction
you are in profits and comfortable it will continue
same goes for when yiu staying out of market. if you are calm not trading then it is good to have no position. if you hold no position but are not calm with it since market is moving then listen to your emptions and open trades.
use your emotions. you cant turn the off or silent them. they are good for you. they warn you of danger before your cautious brain knows there is danger. whoever tries to overcome emotions wil fail as he is trying to overcome nature and human nature itself. you can tell yourself a million times 2+2 is not 4. but only because you are stubborn it wint make your statement correct. same goes for emotions. you cant overcome them or shut them down no matter how hard you try. you go against your own nature. its better to make use of your nature instead of going against it.