These tell you price action in terms of how people actually think. The values above are 15, 30, 45, 60, 90, and 120 minutes, respectively. Why are these more practical? Think about time on an M5 chart. Practically, they should be 3, 6, 9, 12, 18, and 24, but you'll find absolutely no one writing about those because they are not "cool" numbers mathematically. People use 3, 5, 8, 13, and 21 for the mere fact that they are Fibonacci numbers. It all boils down to one thing-what is the near term price action versus a slightly longer term price action. if you look at the last 5 minutes compared to the last 10 you might be looking at just "chop") The tighter the timeframes the more sensitive the cross is, but the more susceptible it is to giving a false positive signal (i.e. I prefer to know if the average price in the last 15 minutes (3EMA), weighted more towards the back half is stronger than the last 40 minutes (also weighted more towards the back half), but you could just as easily look at the most recent 15 minutes compared to the last 45, or 20 minutes compared to 40, etc. Whether it is the 3/8 or 4/9 or any other combination is somewhat arbitrary but the idea is the same, you want to know when the most recent prices have a stronger upward trend than the price action of longer time frames. Why? Because you want an average that is weighted towards the more recent price action given the dynamic nature of intraday action. On the intraday chart you want to be using EMA's rather than SMA's. Thanks to all of the pros in this sub for your help. And just to clarify, I’m not saying the 3-8 doesn’t work, I’d just love to understand where they actually originate from so that I can strive to learn them better.īest wishes traders. My question is relatively simple: Which moving average(s) for daytrading is most accurate? Is there a definitive guide somewhere? I swear I’ve looked and the more I look, the less confident I become.Īny input on this would be greatly appreciated. I understand the idea of the 3-8 cross but I can’t find many references to this idea outside of this sub. ![]() And if you’ve done your job and read the Wiki, you’ll see that 3-8 EMAs are taught here. Some say 5-8-13 EMA, some say 8-13 MA, some even say 10-20 MA. Most resources seem to agree on daily moving averages (50, 100, and 200 day) but intraday moving averages seem to be less settled on. A simple google search for “daytrading moving averages” brings up a wide variety of results. Moving averages on the other hand seem to be less rigid. VWAP is VWAP, swing highs and lows are relatively easy to spot once you know what you’re looking for and can be used to map out algo lines relatively easily. Most of these indicators are pretty straight forward. Support/resistance zones, algo lines, VWAP, and moving averages all fall into this category. We can make some semblance out of the chaos by following a set of rules that help us improve the odds of a trade going in our favor. ![]() Without a common set of rules, most things in life would be chaotic.
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