 |
 1000PC SMA Male Right Angle Crimp RG174 RG316 Connector  US $650.00
|
 CONE DRIVE TEXTRON RIGHT ANGLE 151 MSH064SMA045 3 US $499.99
|
 500RP SMA female right angle crimp RG174 RG316 connector C7A US $490.00
|
| Powered by phpBay Pro |
Finding a healthy trend in the forex is the first step to making money. There are many ways to identify trends, but one of the quickest and simplest is just to use moving averages. In this example, I will show you how to find a trend using a 6-period simple moving average and a 23-period simple moving average.
1. The 23 SMA should be sloping sharply.
The more sharply the 23 SMA is sloping, the stronger the trend is. Strong trends are very, very good.
You would like to see the 23 SMA at a 45-degree angle. This indicates that we want to be trading in this market, and we want to be trading in the direction of the trend.
2. Prices should be mostly above (or below) the 6 SMA.
We have already touched on this a bit, but the reason we want price to be on the trending side of the 6 SMA is that it tells us that the current price is trending even more than is has been in the past 6 periods.
This indicates that the trend is no where close to ending, and it might, in fact, just be beginning.
3. The 6 SMA should be basically parallel with the 23 SMA.
You want to see this parallelism (is that really a word?) because it indicates that the short-term price is still as strong as the long-term price.
Toward the end of every trend, the price will not be as strong. Which moving average is going to be the first to reflect this weakness?
That's right! The 6 SMA. Why?
Because the 6 SMA only averages the last 6 closing prices, it is going to reflect price changes faster.
And as a trend ends, the 6 SMA starts to bend back toward the 23 SMA. This is the first indication that the trend may be ending.
We don't want to be trading a trend that is about to end, so you want both simple moving averages to be moving sharply in the same direction.
Learn so much more about the basics of the forex in my latest forex training ebook of more than 35 pages called "The Insider Secrets to Forex Trading for Beginners." Get it right now absolutely free. It gives a lot more detail about this subject and many, many other details profitable traders know.
Also, get trading advice, discounts on products, and insider forex trading secrets at my forex training website.
|
|
1000PC SMA Male Right Angle Crimp RG174 RG316 Connector US $650.00
|
CONE DRIVE TEXTRON RIGHT ANGLE 151 MSH064SMA045 3 US $499.99
|
500RP SMA female right angle crimp RG174 RG316 connector C7A US $490.00
|
 200Right Angle SMA Male Crimp Connector AdapterX10 US $158.00
|
 200SMA Male Right Angle Crimp RG174 RG316 ConnectorC7 US $158.00
|
 50x CRC9 plug right angle SMA Jack RG174 3G Huawei Modem 15CM US $158.00
|
 AMPHENOL 901 9917 2 SMA RIGHT ANGLE PC MOUNT 50 PCS US $99.99
|
 50SMA Jack to SMA Right Angle Adapter Connector 11A US $99.00
|
 50SMA Male to SMA Male L Right Angle Adapter PlugSMS US $99.00
|
 100 Right Angle SMA RF Female PCB Mount ConnectorC4 US $78.00
|
 5 QMAMale to SMAMale Right Angle Cables 33 US $74.95
|
 10x SMA male Right Angle to SMA female straight Pigtail cable 3 foot US $74.26
|
 2 SMAMale Right Angle to SMAMale Cables 19’ 115 US $59.95
|
 2 SMAMale Right Angle to SMAMale Cables 2005 US $59.95
|
 20x SMA male to MCX male right angle Pigtail cable RG174 15CM US $58.90
|
| Powered by phpBay Pro |