Hello friends… I am trading using 5min and 15min TMs normally. sometime scalp 1or 2 pips from 1 min. i need to know which moving average combination is good for 5min and 15min frames…I am scalping and hold a trade about 30 minutes some times and wish to take about 10 pips per trade. i use support and resistance from 1 hr frame…
Moving averages are lagging indicators. I would have thought that they would generally be too slow for scalping, beyond identifying the direction of the current trend.
If that’s all you want them for then I’d suggest EMA(8) on the M15, which is a two hour look-back, and EMA(12) on the M5, which is a one hour look-back.
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any MA in the long-term is unprofitable
“Good” for what purpose?
If you mean “good for using the crossovers of two or more moving averages to tell you when to enter trades”, then you need a re-think, not an answer to your question, which isn’t a sensible one because it’s based on a mistaken assumption.
If you mean “good for telling you whether or not there’s a trend under way in that timeframe” then 20 period and 50 period moving averages will do that job well. When the fast one is above the slow one and they’re both rising, there’s an uptrend, and vice-versa when they’re the other way round and both declining. But only within that timeframe, of course.
i am scalping some times and hold a trade as i can sometimes… i mean about 30 minutes to get about 10 pips
It may be a perfectly good way to trade, but it’s not “scalping”.
It isn’t even “close to scalping” or “like scalping”.
You haven’t answered my question above: “Good” for what purpose? If you mean “good for using the crossovers of two or more moving averages to tell you when to enter trades”, then you need a re-think, not an answer to your question, which isn’t a sensible one because it’s based on a mistaken assumption.
ok i normally trade when the fast MA close to slow one and again started to leave. i mean if there is a uptrend i can see the fast MA is above the Slow MA and the prices are above the slow MA. in that situation I wait till the fast MA reach to the slow one.if the fast MA start to leave the Slow MA an the candle is closed abow the fast I enter a buy trade as soon as next candle is opened.
Ok, I understand.
In my opinion that isn’t a valid or sensible way to try to use moving averages, and it’s extremely unlikely that you’ll find any steady success with that approach. Sorry.
ok what is your advise
At least Drekieyja has attempted to answer your question… You have to use the MA cross that suits the currencies, volatility and timeframe you want to trade. There is no firm answer … MA Strategies are really only successful in a trending market and short MA’s (Low Numbers) will cause carnage and loss when in ranging (sideways) price action by giving too many signals.
I used to use EMA 26 with an EMA 200. I read somewhere that this is what the funds use… but this is too long a setting for scalping and won’t give you many signals.
As Drekieyja has shown above, EMA 8 appears to be one of the more popular fast MA’s used for scalping…
Youtube has 100’s of videos on various MA strategies on all pairs and timeframes, all FREE and mostly easy to follow.
https://www.youtube.com/results?search_query=moving+average+crosses
Use MAs as a way to identify whether or not there’s a trend within your time-frame (and maybe within a higher time-frame or two).
Don’t use them as a way of entering trades. Use price action for that.
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Okay, here is my take on this:
IF you truly are interested in trading on such small timeframes, with minimal pip targets then the only way to go about it is constructing a EA.
Here are the main reasons why:
- It is the most boring, repetitive type of trading - I guarantee you will burn-out and stop being consistent.
- EA allows you to actually test your strategy on a samplesize that can give you a definite answer whether your strategy is good or not.
And its coming from a guy, who runs a scalping algorithm on his VPS to make an avg. of 6 pips of profit a day.
Might look weak, but at this point all I want is consistency, and it does not have many losing streaks. In the end 6 pips 20 times a day is a solid 120 pips to your monthly count.
Best of luck to you!