T3 Moving Average Indices Technical Analysis and T3 Moving Average Indices Trading Signals

T3 uses a Smoothing factor/technique to produce trading signals that are similar to those of the moving averages, but are more accurate than those of the MA. The T3 is a modification of method used to calculate the original Moving Average and it has a smoother curve and it does not lag the stock indices trading market as much as the MA. This Indicator follows stock indices price action and adjusts itself to the direction of the stock indices trading market.

Indices Technical Analysis and Generating Indices Trading Signals

The T3 moving average is similar to the original MA, and it can be traded in the same way as the original Moving Average indicator.

Moving Average Crossover Signal

This Method involves using two T3 Moving Average and generating trading signals when the two cross each either upwards generating an upward indices trend signal or cross downwards generating a downward indices trend Signal.

Crossover Signal

Bullish Indices Trend - Indices Prices are bullish as long as stock indices price action remains above the indicator. When this move happens it implies that indices prices are bound to continue moving upwards.

Bearish Trend - Indices Prices are bearish as long as stock indices price action remains below the T3 Average. When the stock indices price is below the indicator it implies that stock indices price is bound to continue moving downwards.

Whipsaws - This is a smoothed indicator which is not prone to giving out whipsaws, since it is smoothed it is less responsive to stock indices price spikes, therefore a indices price spike will not skew the data used to calculate and draw it.