Monday, December 12, 2011

Moving Averages of stocks-how do you determine which moving average is most important?

When a security is analyzed or forecasted by moving averages how do "you" determine which duration of moving average is MOST important for your security? 10 day? 20 day? 50-100 day moving averages?|||I like the 50 day moving average.





It's a matter of personal comfort. A shorter MA will get me in sooner, but will give me more false signals. A longer MA reduces false signals, but makes me miss more of the beginning of the move.|||Someone made a a lot of backtests with different timewindows for moving averages, maybe interesting: http://www.smatrader.com

Report Abuse


|||You look at a chart and see which one is most useful.

No comments:

Post a Comment