MA Technical Analysis and MA Trading Signals
An indicator that calculates the average value of prices ( or any specified data sequence ) over a predetermined period of time.
The only significant difference between the various types of MAs is weight assigned to most recent data. Simple MAs apply equal weight to the prices. Exponential and weighted averages apply more weight to recent prices.
Explanation
The most popular strategy of interpreting the MA indicator is to compare the relationship between the MA of the price with the price itself. A buy signal gets generated when price rises above its MA and a sell signal gets generated when price drops below its Moving Average.
MA Indicator
Buy and Sell Signals generated by MA crossing above or below trading price action.
MA Crossover Strategy
Also popular are various types of MA cross over systems. Such systems often include two or more moving averages crossing above/below each other & perhaps even utilizing other technical indicators as additional entry & exit confirmation signals. The combinations of conditions for these types of systems are almost limitless.
MA Crossover System
