Moving Averages Flashcards
What kind of trend is price in when price is above the MA lines?
Bullish/Uptrend
What kind of trend is price in when price is below the MA lines?
Bearish/Downtrend
What is the “sweet spot” for potential high gains?
Price Action + MA cross
Price under the MA could be used as what at that level?
Trading Range
Moving Averages are the ____ or ____ average of all candlesticks in a timeframe and which one do we use?
Open or Close: Use Close
Why do I use Moving Averages?
To reinforce beliefs on trades
Big timeframes are used for what?
To analyze
Small timeframes are used for what?
To confirm entries
Price over 20 day line and 20 day line is over 200 day line is a signal to do what?
Buy
Price below 20 day line and 20 day line is below 200 day line is a signal to do what?
Sell
What is the best MA combo to use together?
200 & 20
What do I use to symbolize the movement of Moving Averages?
Breathing: Inhale/Exhale, Expanding of Contracting
Deep pullbacks are a sign of what kind of trend?
Weak trend
Where is a good point to buy or sell MA’s
At crossover points