hi,
when looking several threads about trading systems i found that many are using moving averages in their technical analysis but everybody seems to use a different one. Of course most people are using EMAs but the difference are in their periods. Some trade 3-21, some 5-30 …etc. etc.
My question is which one do you think is the most popular and does it differ in different timeframes ? thanks. I’m trading mostly on 30M timeframe so any reccomendations which MAs to use are welcome.
Try a 5 period LWMA of close and a 6 period LWMA of the open…look for the crosses for entries…also look at higher time frames with this combination and trade the lower time frames if they agree with the higher.
This is just a crude overview of the analysis I use(I won’t take every cross)
Simple moving average is good, you can set it 21 and 14. It has work great for me…
I mostly use 7 and 14 works fine in almost all time framea
I normally use 20EMA. Works perfectly for me
There are two types of moving average indicator, double exponential moving average and triple exponential moving average.
However, I implement Triple exponential moving average as Simple exponential moving averages have some lags, which can be overcome by the implementation of triple exponential moving average.
I use a 200 EMA to trade looking at a 5 minute time chart, I also check the 1 hour and daily on the same 200 ema. however i go with the trend.
LSMA is the best by far
I’ve used 50, 100, 200 EMA in the past.
What evidence do you have to support this. Have you any hard data (historical research) to back up this statement.
same here but instead of 20 EMA i use 20 SMA mostly in 4h TF…
why sma? think iam just used to it and it works for me too
MAs are very useful to fill in the picture but they are not the whole picture.
But I do use them. I am a long-term trend-follower in forex. For longs I want to see price above the 200EMA, and the 50EMA above the 200. But I also want to see that price has risen in the last 1mth, last 3mths and last 6mths. If these 5 conditions are satisfied I am ready to buy this pair on a buy signal - though the actual buy signal itself is not very important.
Watching MAs make sense if you use them in MTF analysis. Traders often think that if they find the ‘right’ MA on the ‘right’ TF it will bounce the price like magic. But even simply MA 100 can look much different when someone can make it simple/weighted/exponential, shifted etc. and it gives different values with different brokers. IMO It should be more ‘compare’ tool between the timeframes, for trend confirmation.
personally i use lwfsgtx latest version , it do just ok