most popular EMAs

what are the most popular EMA combinations? How do you use them? crossover? other methods?

wow, you're gonna get a load of different answers on that one!

10,25,50 is a rather popular and easy EMA crossover system for the 15 minute charts.

Other have used variations with Fibonacci Numbers

I do not user MA's for crossover signals, chart patterns and price action gives a much early signal on that one, however they can help at times for support and resistance areas.

I keep a 100 SMA and 200 SMA on my chart for that purpose, another that can help for scalpers is the 34 EMA.

welcome to the forum dana. after twenty years at this its my opinion that the single most important MA you can keep on your chart is the 365. put it on your chart and look what price does when it gets near it. its amazing and can be used a ton of different ways to improve your trading. oh and hello mudd good to see you around old friend.

jim

I lean toward price action near a given MA rather than using multiple MAs as a cross over signal or entry/exit. Jim (James16) has really broadened my thinking as to using them in ways i had not thought of before following his price action section in the FF/PF areas.

You might have some fun looking at how the price action plays off the FIBO numbered MAs such as the 21, 34, 55 in the faster category, and also such as the 144,233,377 in the slower range. I look for kisses or near touches of/off the MA and like to take the ride in the direction of the trend as Jim mentions in his price action areas.

If you ask 100 people this Q, you're bound to get at least 99 different answers ; - )

Hmmmmm.....

What is EMA/SMA got to do with Fibb numbers??? so confused....

Cant really see the relation...

Do enlighten me.....

They really have nothing to do with EMA/SMA/MA lines at all.....but then again, they also have nothing really to do with S/R levels, retraction levels, or anything else related to trading other than the faith and belief that traders put into them which makes them tangible and relevant.

Basically, if no one believed that Fibonacci numbers applied to trading whatsoever, they wouldn't!

If no one believed in S/R levels, which in themselves are totally physcological, then S/R levels wouldn't affect a pairs movements.

Some people just flat out prefer a Fibonacci number to a rounded number when it comes to MA's becasue of their faith in the sequence of numbers that naturally occur in nature....whether it actually aids in trading is purely objective.

You can apply a belief or faith to anything and make it real....get enough people doing it and whoa! you have a tangible thing!

The power of the mind, especially when acting in a collective, is one of the most powerful things ever created.

Thanks!

The Guppy System.

Plot these EMA's
fast ( blue ): 3,5,7,10,15
slow( red ): 30,35,40,50,60

Great for clearly seeing trend, can be used on all time frames, excellent for scalping bigger chunks off the 1 & 5 min charts as well as position trading a long trend.

The usuall indications, angle and seperation, price penetrations, bounces.

Combine this with Stochastics and MACD as well

HAhaha....

Hmmm now i understand... so itz just pure faith..

But i m sure that they work dont they... @least to a certain extend... if not you guys wont be even disccusing... Haa..

Gotta learn more from u guys...

It's called a Self-fulfilling Prohecy. For example if people believe that some currency pair will bounce from a certain resistance level, they place their sell orders there to capitalize on the bounce or dump their long positions to take maximum profit. Once the price gets there, the orders trigger, and as a reaction to theese sellings the pairs turns and goes down.

http://en.wikipedia.org/wiki/Self-fulfilling_prophecy

Hi all. MuddBuddha and RoBiK great replys, could not have said it better!

T-bird, just as an example Jim (James16) has used a 25ema as part of a particular system he teaches, if one were to place a 21ema (a FIBO number) you would see that they are so close to each other as to, in practical sense, be the same. Sooooo, when i saw the beauty and simplicity of Jim's teaching in his Price Action section, i changed the ema's to the nearest FIBO# ema and as MB and RBK stated, it gives this trader a bit more confidence...because i do believe in the "Self-Fulfilling-Prophecy" thing.

DudeWorks, i so like the MultipleMA(Guppy) moving averages, they sure point out the ZLR(Zero Line Rejects) or in charting terms, price-action/bounce at/off a moving average. Due to my love of FIBO's my guppy line set up on charts is (though i rarely use it these days) as follows:

Fast Green : 3,5,8
Medium Yellow : 13, 17, 21
Slow Orange : 34, 45, 55
VerySlow Red : 89, 144, 233, 377

The two in italics are not fibo numbers, just in there for fillers, but it gets the point accross. The MMA setup is nice in trends, and also gives a nice visual as a trend is changing as all the colors get jumbled up.

Bottom line for me T-bird is that i read, read some more, read even more, then take it all, put it in a blender, do a taste test (in demo) add/subtract some ingredients, mix some more and enjoy.

Cheers,
Thom

what is the difference in a slow EMA and a fast EMA? I thought it was either EMA or SMA. This is something I have not heard or just overlooked. Thanks guys.

slow just means longer period.

A 5 EMA is fast i.e. it reacts to small price changes.

A 500 EMA is slow as it takes time reacting to price changes.

Thank you scorpion

I use only following EMAs ( not SMA or any other)


21, 50, 100, 144, 200, 365

Hi Dana . First of all they show you the trend

Use these periods 55, 89, 200
and then when 55 and 89 cross over in ema200's direct go in for yor position.

good luck

I use MA
22,33,50,63,100

Fibo levels

Heh 100 different answers