Is it realy true that brokers manipulate indicators/oscillators??
No. Most indicators are generally formulas based on some combination of MA’s of previous OHLC levels that you see on your chart. Calculate the formulas by hand and compare with the standard indicators supplied by your broker.
Can’t say I’ve heard that claim before. If, however, a broker is manipulating prices then indicators will be influenced.
Tkx guys for your insight, i went live two weeks ago, i currently look at the daily chart but i wanna scale down to the 1hr time frame. Which of the MA’ will be best to tell me the current trend on this 1hr chart?? 50 ma? 100? or 200? your advice will be most appreciated
Irrelevant. All moving averages do the exact same thing. They show where price currenty is in relation to where it has been over a certain period of time. The longer moving averages show where price is in relation to longer time frames (the 200, for example, will show you where price is in relation to where it has averaged over approximately the past year on the daily chart and the 20 will show you where price is in relation to its average over the past month). Using a short moving average, such a 5, will tell you that the trend is up… no it’s down… now it’s up… no, now it’s down… because you are looking at price, which tends to move up and down a lot, even in a trend, over an average of just a few days.
The “golden cross” and “death cross,” signifying bull and bear markets, respectively, in the world of stocks are as follows: If the 50 crosses above the 200 it is the golden cross and you have, supposedly, entered into bull country. If the 50 falls below the 200 you have a death cross, you have entered bear country.
In my opinion, if you want to know what the trend is and can’t figure it out, show a chart to a child. They will tell you if the squiggly lines are going up or down! As you can tell, I don’t put much faith in moving averages :27: