I saw this online and was wondering if anyone else uses it, has tried it or has any thoughts on it. The theory is plot a 200 EMA on three different charts, a 4h, a 1h and a 15 min. When the 4h and 1h are above the 200 EMA and the 15 min. drops below it you are supposedly seeing a retracement which could be a good time to get into a long position. So far what I’ve seen is when I find a pair that the 4h and 1h are above the 200 EMA and the 15 min. is below, the 4h and 1h tend to follow it. Any thoughts or recomendations on the strategy?
Check out this vid. It’s a great explanation about EMA Trading with Moving Averages - YouTube
Gp
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I am also using 200 EMA as a part of my trading system. Don’t forget to apply Price Action
Why don’t use 200 EMA and 100 EMA on the same chart? The idea is the same. If 100 is below 200, while there is an upward trend - go long, and if 100 is above 200 during downward trend - go short. It is working quite well, however you have to pay attention to the fundamentals. Otherwise there is chance of big loosing.