oussama94
05-28-2017, 01:26
The chart below shows Moving Averages (MAs)
for 20, 50 and 100 days. You can see the MAs
generally moving with the price, and the price
crossing the MAs when it changes direction.
MAs are what we call a lagging indicator ,
meaning they follow the trend. You can also
notice that the longer MA is a lot smoother than
the shorter MAs – this is because it averages
out more prices and is less sensitive to new prices
for 20, 50 and 100 days. You can see the MAs
generally moving with the price, and the price
crossing the MAs when it changes direction.
MAs are what we call a lagging indicator ,
meaning they follow the trend. You can also
notice that the longer MA is a lot smoother than
the shorter MAs – this is because it averages
out more prices and is less sensitive to new prices