The Only Simple Moving Average Strategy You'll Ever Need
HTML-код
- Опубликовано: 25 сен 2023
- Ⓜ️ Your challenge to go from novice to pro: technicalanalysisinstitute.co...
Unlock the secrets of Moving Averages in this deep dive into technical analysis! Whether you're new to stock trading or a seasoned forex trader, our unique single-moving average strategy will transform your approach. This isn't just a basic introduction - by the end of this video, you'll be armed with a powerful strategy that harnesses the potential of a single moving average. Suitable for both rookies and seasoned traders.
Dive in to learn, and don't forget to hit the subscribe button for more invaluable insights. Join our trading community and share your experiences in the comments below!
================================
📚 Get Trader's Shift Book Series (4 Books):
aldolagrutta.com/traders-shift/
----------------------------------------------------------------
👍 Like and subscribe for more videos on becoming a successful technical analyst and a profitable trader.
----------------------------------------------------------------
⬇️ ⬇️ Join The Community - Technical Analysis Institute
Join 10,000+ email subscribers who receive the latest strategies, tips, and updates directly from me:
📫 Signup is FREE: technicalanalysisinstitute.co...
✉️ Contact our team: support@technicalanalysisinstitute.com
----------------------------------------------------------------
Follow The Technical Analysis Institute on:
➡️ Facebook: / technicalanalysisinsti...
➡️ Instagram: / technicalanalysisinsti...
➡️ Twitter: / tainstitutehq
![Rich Dunk (Ft. DaBaby) - BIG DAWG [Official Video]](http://i.ytimg.com/vi/Pz2ewsSKAEM/mqdefault.jpg)
Best trading channel ever
Thank you so much for the kind words! We're thrilled you find value in our content. More valuable info is coming. Keep watching and happy trading!
@@TechnicalAnalysisInstitute
I'm interested
Thank you for helping me get focused. After such a horrible couple of day.
Been trading 2 months, mostly paper.
I’m just doing higher/lower (on PocketOptions). When I’m not confused I do pretty well.
Starting with focusing on trends, swings, and volatility, with different indicators and moving averages (that’s why just higher and lower; it’s simple to watch).
Oh, while search to glean information.
Thanks for your help🤗
0:00:00 INTRO
0:00:30 WHAT IS A MOVING AVERAGE (MA)?
0:01:15 DIFFERENT MA CALCULATIONS. WHY & HOW...
0:03:45 HOW TO USE
0:04:55 IDENTIFYING THE TREND
0:08:00 THE THREE C's... CONFIDENCE, CALMNESS, CERTAINTY... (ADD ON TRADES HOFFMAN RETRACE BAR)
0:08:35 USING THESE PRINCIPLES TO TRADE SHORTER TERM
0:09:55 ADVERTISMENT
0:10:35 TRADING RULES OF ENGAGEMENT... SHORT TERM MA's
0:12:20 EXAMPLE
0:16:50 SCALPING THE M3 CHART
0:18:30 APPLY!!! BACKTEST!!!!
Fantastic channel and amazing delivery of the concept… I’m glad I stumbled upon your channel. You should have way more visibility. Your videos are treasure! Thanks for passing along this expertise!
Thank you so much for your kind words and encouragement!Your support helps increase our visibility and reach more people. Thanks again for being part of our growing community
Thank you for sharing your valuable knowledge and explaining so well! I have used a similar strategy with 8 and 21EMA, combined with Price and Volume analysis. Very similar but I love the simplicity of the 30 WMA and have added it to my charts. Much appreciated and you have a new subscriber here.
Absolutely delighted to hear that you've found value in our content! It's always great to know that fellow traders can adapt and integrate new techniques into their existing strategies. Welcome to our community, and I'm looking forward to sharing more insights with you. Happy trading!
I am already in a year of self studying forex trading. This lesson is really a big help. It’s my first time viewing clear explanation on using moving ave. Thanks a lot for the upload. You are a blessing to us who self study. Thank you. Thank you. Thank you.
I'm truly humbled by your kind words! It's rewarding to know that our content is assisting dedicated learners like you. Keep up the self-study, and always feel free to reach out if you have questions. Remember, every great trader was once a beginner. Thank you for being a part of our community!
Trade the /NQ, the Nasdaq 2 hours after the market open.
There is true genius is simplicity and this approach has it. A very nice strategy for getting in, staying in and adding to the trade. Many thanks for sharing.
Thank you so much for your kind words! I wholeheartedly believe in keeping things simple yet effective in trading. I'm thrilled to hear that you found value in this approach. Best wishes in your trading journey!
I tried to use this yesterday for the very first time and i won the trade then this morning i used it again and boom! same result i won the trade again! Thank you for this very valuable knowledge.
Fabulous! That's fantastic to hear! Remember, while it's great to have initial success, always remain disciplined and continue to study and practice. Thank you so much for sharing. Keep up the great work and happy trading!
12:03
The latter is that the close is ABOVE the last lows.
So in this case...
Former - exit
Latter - stay long
A diagram at the same time would've helped, though you did it later.
But it is a good tip. 👍
Thank you for your feedback. For some traders who are not adept in recognizing the trend, it may be a lot more than a good tip though; it can be a complete trading methodology. Personally, I prefer to recognize the trend first and apply this strategy thereafter.
Thank you for such a good lesson. It was very informative, and I am about to try it out; thank you for your time and effort.
You're very welcome! I'm delighted to know that you found the lesson informative. It's great to hear that you're ready to put what you've learned into practice. Remember, the real learning begins when you apply the concepts to live markets. Take your time, be patient with yourself, and don't hesitate to review the material as needed. If you have any questions or if there's anything you're unsure about as you try out the strategy, please feel free to reach out. Good luck, and may your trading journey be as rewarding as it is educational. Thank you!
Very good content sir. I have used the same approach for years however I use the 34 weighted instead. The two candle comparative analysis to the left was an interesting concept I will back test. I use more advance method to stay in trades but this is a great addition. Thank you for your time to put this together.
Thank you so much for your feedback! It's great to hear from someone who has been using a similar approach. The 34 weighted moving average is certainly another effective tool, and I'm glad to see that experienced traders like you are open to exploring new methods and concepts.
The two-candle comparative analysis is something that has worked well for many, and I'm keen to hear how your backtesting goes. Always exciting to add another tool or perspective to our trading arsenal!
I appreciate your acknowledgment of the effort put into creating this content. It's always fulfilling to know that it adds value to the community. Please keep sharing your insights and experiences; it enriches the learning for everyone.
Warm regards,
Aldo
@@TechnicalAnalysisInstitute very apt response
Have you tried 50 WMA instead of 34? I feel this is better as it works as Support and resistance
How was your result backtesting this strategy ?
How do you set tp . Thanks
The use of 30-Simple MA reminds me of similar strategy by Stan Weinstein in his classic book "Secrets for Profiting in Bull or Bear Markets" that uses 30-Weighted MA. What I appreciated most from your video is the "EXIT STRATEGY". Thank you for sharing this simple yet effective strategy!
I'm glad you noticed the similarity! Stan Weinstein's work is indeed a classic in the trading world. It's essential to have both entry and exit strategies in place for consistent trading success. I'm thrilled you found value in our exit strategy. Thanks for watching and sharing your insights!
Its my strategy also using the SMA 30 according to Weinstein..and.also i use the MaCd. I found a special setup who work anytime
@@investisseur101 Congratulations on finding a strategy that works consistently for you! It's great to hear about your success with the SMA 30 and MACD combination. Stick with what works for you and keep up the good work! In trading we only need one thing that produces money. You found yours! Congrats!
very good content, quick question for the sell order rule, it will be the opposite of the buy order rule, just to make sure cause in the video you never mentioned that.
Thank you Oliver….straight fwd and wondering what is the success ratio for this approach? I have subscribed to the channel as well.🎉
Thank you for the kind words and for subscribing to our channel! I appreciate your support. Just a small note: the content and strategies presented here are based on my extensive research and experience. I'm fortunate to be a Certified Market Technician from the International Federation of Technical Analysts and a Certified Elliott Wave Analyst. These credentials allow me to provide insights grounded in tested methodologies.
Regarding the success ratio, it varies depending on market conditions, the specific application, and the trader's discipline in following the strategy rules. Always consider backtesting any new strategy in a demo environment before applying it to live trading.
Thanks again for your feedback and happy trading!
I am a day trader....That was exactly what I was looking for....an Entry, Add, and Exit strategy that makes sense. I have been trading for a few years and have tried a lot of different things to put it all together...wow, this strategy is awesome...new traders don't get intimidated on the Exit rules it's easier than it looks at first. I have been using with marking the high/low of the 1st bar on the 3 min. Can play off of those with the 30sma. All the best traders short term use "price action"...that is what is so sweet about this system...you are too. Thanks again for taking the time to make available.
Thank you for your wonderful and inspiring comment. I do hope this strategy makes you a lot of money. I look forward to hearing from you again sharing your results. Thank you for your kind feedback!
Thanks for sharing. It was a very nice presentation and really a simple effective method
Thank you for your kind words! I'm glad you found it effective and easy to understand. Always aiming to simplify complex concepts for everyone. Happy trading!
Thank you, sir. I have explored a lot of channels and you are the best I have ever seen. As a professor, you put it concisely and methodically.
Thank you so much for your kind and encouraging words! It's truly gratifying to hear that our channel has stood out to you in your exploration of this field. As a professor, my aim is always to present information in a clear, concise, and methodical manner, and I'm delighted to know that this approach resonates with you.
Your feedback is greatly appreciated and motivates us to continue delivering high-quality content. If there are any specific topics or areas you're interested in learning more about, please feel free to let us know. We're here to support your learning journey!
Thank you once again for your support and for choosing our channel as a resource.
@@TechnicalAnalysisInstitute I gotta hand it to you. You totally deserve it, sir!
Very clear instructions, better than others that just can't seem to explain very well... many thanks mate
So glad it helped. Thank you so much for the feedback!
Amazing video thank you!!!!!!
Thank you so much for the kind words! I'm thrilled you found the video valuable. Stay tuned for more content, and happy trading! 🌟
simple and lucid to understand
Thank you for the kind words! I always strive to make complex concepts as simple and understandable as possible. If you have any questions or need further clarification on any topic, don't hesitate to ask. Happy trading!
I do like this simple strategy. Testing it out. Thanks.
I'm glad to hear that you find the strategy appealing. Testing is a crucial step before implementing any strategy in a live setting. I hope you find great results! Let us know how it goes. Thanks for the feedback!
thank you so much. o you have a video on the use of range bars? Thanks
Thank you for your kind words! Currently, we don't have a dedicated video on Range Bars. However, it's a great topic and I appreciate the suggestion. We'll consider creating content on it in the future. Stay tuned and make sure to subscribe to get notified of our latest content!
Great knowledgeable , totally enjoyed.
I'm thrilled to hear you enjoyed the content and found it informative! If you have any more questions or topics you're curious about, feel free to reach out. Happy trading!
Hi, Prof. Aldo. Thankyou very much for the video. I wonder if you could clarify the sell part please. In the second example which starts at the 15 minute 16 second mark of the video on the 1h chart, the first close below the MA occurs on a very long bar where the close is approximately 110.50. I will call this bar position zero. The bar to the right which I'll call position 1 also closes below the MA. I will call the bar immediately to the left of position zero, position minus 1. So, we have two bars where the close is below the MA and we look to the left to find two relative lows. In the video at 16:05 you point to the bars which are in position minus 11 (which is below the MA) and position minus 20 (which is above the MA) however I can see two other relative lows which occur at position minus 3 and position minus 6 which are both above the MA and above the closes of positions zero and one. Can you please help me understand why you passed over the two at positions minus 3 and minus 6? Were they not significant enough? Cheers
Great observation. I believe you're right. I understood your explanation. What we could do in that situation is exit the trade and wait for a reentry. According to the example in the video we'd already be in a potential profit anyway. Does that make sense?
thank you for explanation 👍
You're welcome! If you have any more questions or topics you'd like covered, just let me know. Happy trading!
Thanks for sharing! I am also in the learning phase of the NFC community. Every day is a new opportunity to learn more about trading and experience this exciting journey.
Absolutely! The journey of learning, especially in the trading world, is ongoing and filled with new discoveries. It's wonderful to have fellow learners like you in the community, sharing experiences and growing together. Let's keep the momentum going and make the most of every opportunity. Here's to many more enlightening days ahead! 📈🌟
Excellent information. Thank you for sharing this insight.
You're very welcome!!! I look forward to hearing about your results using it.
Thank you for this wonderful strategy. I guess keeping it simple is always great. I would love you to make a video on how to do manual backtest of this strategy on MT5. Nice work as always.❤
I'm glad to hear that you appreciated the strategy and found value in keeping things simple. Your suggestion for a video tutorial on how to manually backtest this strategy on MT5 is a great idea. I'll definitely consider creating content around that topic to provide more in-depth guidance. Thank you for your continuous support and for the kind words! Stay tuned for more updates. ❤️
That is a very lovely explanation sir, Thank you.
You are most welcome! Thank you for your feedback!
Nice strategy, straight forward thanks !!
Thank you for your kind comment and feedback. Indeed, the strategy is simple and extremely effective.
Do you have that demonstration in candlestick form?
Great Video! 💯
Thank you so much! Glad you enjoyed it. 💙 Stay tuned for more!
Great Video. Wll join your training soon. All the best.
Glad you found the video useful. We look forward to welcome you in our program! Thank you for the feedback!
Hello sir. Simple yet amazing. But may I request you to create the same strategy using the traditional Japanese candlesticks rather than the bars? That would be even more helpful io understand the concept of the relative lows. Thanks a ton sir.
Thank you for your kind words and feedback! I'm glad you found the strategy useful.
I understand that many traders prefer the visual representation of Japanese candlesticks over traditional bar charts. They can indeed offer a clearer picture of the market's sentiment in certain contexts. I'll certainly consider creating a version using Japanese candlesticks to further elucidate the concept of relative lows. Your feedback helps in refining our content, and I genuinely appreciate it.
In the meantime, you can apply the same principles discussed in the video to candlestick charts. Just focus on the wicks (shadows) of the candles for highs and lows, and the concept remains largely unchanged.
Thanks again for your suggestion, and happy trading!
Hi maybe try Fractals to show you the relative lows and highs
Thanks for this i have learnt something new. I like it.
I'm so glad to hear that you found value in the content! It's always rewarding to know that viewers are learning and benefiting. Stay tuned for more insights and happy trading!
So when the low has gone below the 2 previous relative lows........the you enter a short trade i.e. close the long n go reverse. That will be pretty late into the game. If not then, what are the entry rules for the trade #2 i.e. reverse trade.
thanks sir for your explanation
You're most welcome! We thank you for engaging with us and genuinely hope this strategy elevates your results to new heights!
that was a great simple strategy, thanks for sharing
Thank you for your feedback! I'm glad you found value in the strategy. Remember, sometimes simplicity is the key in trading. Stay tuned for more insights and strategies. Happy trading!
Good video thank.
Thank you for watching and taking the time to comment! I'm glad you found the video valuable. Stay tuned for more content!
Sir, it is a really good and simple technique to enter the trade. moreover, your teaching style is very humble and polite. I am impressed and subscribed to your channel because you are really a genius.
Thank you so much for your kind words! I'm genuinely pleased to hear that you find value in the techniques shared and appreciate my teaching style.
Your support means a lot, and I'm honored to have you as a subscriber. Let's continue this journey of learning and trading together. All the best in your trading endeavors!
Absolutely gorgeous and easily applicable in MQL4 and back-tested. Thank you master.
I'm thrilled to hear that you found it applicable for MQL4 and useful in back-testing. Your feedback means a lot. Thank you for your appreciation, and keep trading smartly!
@@TechnicalAnalysisInstitute awesome
How was the result of your back testing?
This is a life changing strategy. Thanks a lot! First time I felt confident!
That's fantastic to hear! Confidence is a key component in trading, and I'm thrilled that you've found a strategy that resonates with you and boosts your confidence. I always tell my students we need to trade with 3 Cs: Confidence, Calmness and Certainty.
If you have any questions or need further guidance, feel free to reach out. Keep up the great work and may your trading journey be filled with success!
Thank you for posting this video. I like the ideas featured. When I tried to write up the trading rules for me to follow, around 11m08s "the previous two significant relative lows" was referenced. By the definition given, they will always be lower than the low being considered. Is there a better numerical determination to select the lows to compare against? Please include determining how far back we go.
Thank you for your insightful question and for watching the video. I'm glad you found the content useful. Regarding your query about selecting the "previous two significant relative lows" for trading rules, I don't believe I can clarify it better than I did in the video using a written form. I suggest you come to the Wednesday Live stream and I'll do my best to answer your question in a more interactive way. For now, I believe your missing point is to see to the left horizontally. That's the key!
thank you sir useful strategy
Thank you for your kind words! I'm delighted to hear you found the strategy useful. Keep practicing and refining your skills. Stay tuned for more valuable content. Happy trading!"
I am having a hard time finding a screener for stock market where I can screen for price penetrating 30 period sma...does anybody knows one?
Sir, thank you for the info, does this will work in option buy intraday
Thank you for your comment! The single moving average strategy can be applied to different markets, including options for intraday trading. However, it's essential to backtest any strategy on the specific market and timeframe you intend to use it on. Options have unique characteristics and factors like time decay that need to be considered. Always test and practice in a demo environment before applying any strategy in a live trading scenario. Happy trading! 👍
Thanks for this excellent content. In this video only buy setup is explained. Is this strategy applicable only for LONG Trades ? Ideally the opposite conditions are applicable for SHORT Trades. Kinldy conifrm my understanding.
Yes, correct! Thank you for your feedback!
The video I just watched, the explanation is easy to understand for beginners like me who are learning in the nfc community
Great to hear! I am not familiar with the NFC community, but wish you well in your learning process.
all content from this channel is very useful thanks
Thank YOU so much for your kind words! I'm thrilled to hear that you find the content useful. Your support means a lot to me. If there's anything specific you'd like to see in future videos, please feel free to share your ideas! We will soon start a series on Elliott Waves. Stay Tuned!!!
HI and thank you for this amazing video . Does it work the same way for selling
You're very welcome! Thank YOU for your question and feedback. The strategy works exactly the same when selling. Simply inverse the instructions. Happy trading!!!
good strategy . nicely explained.
Glad you liked it
I've been trading for a few years using something similar, but have had issues with stop-outs when the market ranges and whip-saws. What you are explaining here seems to overcome that to a large degree. I love the simplicity!
I'll be backtesting and see how it goes.
I'm assuming the stop goes below the lowest low of trend movement.
Absolutely! First off, I'm thrilled to hear you appreciate the simplicity of this strategy. Addressing your point, you've nailed it:
In this strategy, the stop is indeed set below the lowest low of the two relative lows. This method helps to buffer against the noise of the market, especially during periods of consolidation or when the market exhibits whipsaw behaviors. By setting the stop based on the relative lows, we're allowing the trend to breathe and potentially ride out those temporary market retractions without getting prematurely stopped out.
However, it's crucial to continually trail the stop based on subsequent relative lows as the trend progresses. This not only locks in profits but also ensures you're dynamically adapting to the market's evolving structure.
I encourage you to backtest this method thoroughly. Incorporating this approach to stops might reduce premature exits and provide more room for the trend to unfold. Remember, no strategy is foolproof, but the aim is to provide a solid edge over a series of trades. Good luck, and I'm eager to hear how your backtesting goes!
How did your backtest turn out?
thanks for the video..
awesome 30 sma strategy👍👍
Thank you for the kind words! I'm delighted to hear you found the 30 SMA strategy valuable. If you have any further questions or topics you'd like covered, feel free to let me know. Stay tuned for more insights and happy trading!
New to your channel snd i like it .
Can you tell me if that strategy wirks for stocks as well?
Of course! Welcome to the channel, and I'm glad to hear you're enjoying the content.
The strategy we discussed is primarily based on price action, which is a fundamental concept applicable across various financial markets, including stocks. While it was demonstrated in a specific context using Forex pairs, the core principles can indeed be applied to stocks, Futures or Cryptos.
As always, I recommend backtesting any strategy on the specific assets you're interested in trading to ensure its effectiveness. Stay tuned for more insights and happy trading!
P.S. If you're interested in even deeper levels of analysis, I recommend you watch our full week intensive on the Elliott Wave Principle. You should be able to watch it under the Playlist tab. Enjoy!
Thank u so much sir,thats was helpful❤
We're glad it helped you. Always welcome!
Can I use ma 7 or 10
This lesson was very helpfull...thanks very much
@@sachinbhagat1483
Thank you for your question. When it comes to moving averages, there truly isn't any "magic number" for the period. Different traders use different periods based on their strategies and the specific market conditions they're analyzing.
That said, the strategy I presented, which uses the 30-period moving average, is not chosen arbitrarily. It's a tried and tested approach, backed not just by my personal experiences, but also by a wide array of professionals and students. Many professionals utilize the 30-period moving average in the exact manner I've presented, or with slight variations in terms of adding positions or determining stop placements.
While you can experiment with the 7 or 10-period moving averages, I would recommend starting with the 30-period approach as taught. Once you're comfortable and have seen its efficacy, you can then branch out and test other periods to see if they align with your specific trading style.
Hope that clarifies things!
@TechnicalAnalysisInstitute Thank you for your quick answer. I would like to ask anotheer question about process. After second close, we drove a line horizontally to the left side and choose first lowest low that crossed by horizontal line whereever it. Am I correct?
Thank you for your question and for following the discussion. I must admit, I'm not entirely sure I fully grasp your question. It would be really helpful if you could review the video again for clarification. Additionally, it would be great if you could join the next live stream, as that would give us a better opportunity to interact and address your query more effectively.
In the meantime, let me reiterate the instructions from the video for clarity:
You should consider buying when there's a first close above the 30 period simple moving average (SMA). However, be cautious if the SMA is steeply pointing downwards, as this might not be an ideal buying signal.
The strategy for exiting is to do so after witnessing 2 closes below the 30 period SMA. Specifically, consider exiting when one of these closes is below the lower of the previous two significant relative lows.
Again, I recommend reviewing the video for a better understanding and joining the next live stream where we can interact more directly and clear up any confusion.
This is so wonderful i just had to subscribe 😊
I have the concept bagged except for the part of exiting the position.
That relative low concept is still not clear to me.
Maybe it's because i am relatively new to trading; barely six months in.
Will try it out asap and see how it goes..
Who knows? I may come up with my own exit strategy 😂
Thank you for subscribing and for your kind words! 🙌 Exiting positions can indeed be a nuanced topic. I recommend attending our live stream this Wednesday, when I could clarify your doubts better.
With your enthusiasm and willingness to learn, I'm sure you'll grasp all trading concepts in no time. And hey, innovation is key in trading! Looking forward to possibly hearing about your unique exit strategy someday. 😄 See you on Wednesday!
Keep Adding new Concept, you are superb, thanks a lot ❤❤❤❤
Thank you so much for the kind words and support! I'm committed to continuing to share valuable insights and concepts. Stay tuned for more, and happy trading! ❤️
13:22 Is that the 2 previous relative high/low is similar with the 2 previous Isolated High/Low (Charles Drummond) or 2 previous Pivot Turning Point ?
Thank you for bringing this to my attention. Admittedly, different analysts and educators often employ varied terminologies for similar concepts, which can lead to confusion. As for the terms you mentioned, namely "Isolated High/Low" from Charles Drummond and "Pivot Turning Point," I must admit they are not terminologies I am intimately familiar with in the context of the exact strategy I presented.
However, I firmly believe in the core principle that what's more crucial than the terminology is the underlying concept and its application. While the precise labels might differ, the foundational ideas often have similarities across different strategies.
If you're interested in implementing the strategy from the video, I'd recommend following it as closely as presented for the best results. That being said, always remember that trading is a personal journey, and adaptations to better suit one's style are not only welcome but encouraged. All the best in your endeavors!
@@TechnicalAnalysisInstitute Thank you.
Hello and thank you for this valuable advice. Is the strategy the same for selling please?
Absolutely! All you need to do is to invert the concept!
You'd typically look for the price to close below the pointing down moving average as a potential signal to consider a short position. Always make sure to use proper risk management and test the strategy in your simulator! Happy Trading!
@@TechnicalAnalysisInstitute thanks so Much sir....I need to practice because I have a lot of trouble recognizing the lowest ones...
What a clever, elegant way to approach the market using Moving Averages. Thank you Professor!
I'm glad you found it useful. I thank YOU for your kind feedback.
As a refinement may I suggest using this technique with a 200 sma added. Then take buy trades only when price is above the 200sma and visa versa for sells.
Certainly! Your suggestion to integrate the 200 SMA as a filter for the overall trend direction is a time-tested approach well known in the industry and use by many traders. By buying only when the price is above the 200 SMA and selling when below, you're essentially aligning with the prevailing trend, which can often increase the probability of successful trades.
Thanks for sharing your refinement. Always great to have insightful contributions from our community! Please share your future results. It'll be enlightening to the community.
Good instruction!
Thank you! I'm glad you found it clear and helpful. Happy trading!
very interesting strategy. I trade index futures (MES) off the two minute chart and the 21 SMA. Would this same strategy work with the 21 SMA or is the 30 SMA the key to the whold strategy? Thanks!!
Thanks for your insightful comment! While the strategy I presented is based on the 30 SMA, it's not strictly the key to the entire strategy. Every market and timeframe can have different nuances, and the best SMA might vary. That being said, after years of testing, we've found the 30 SMA to be more adequate for the scenarios we often discuss. However, I'd recommend back-testing the strategy with the 21 SMA on your 2-minute chart to see how it holds up. It's crucial to tailor strategies to fit the specific market conditions you're trading in. All the best with your trading endeavors!
I do have another question. Do you place stop losses and take profit trades with your system? If so how do you do that?
This strategy only for buy? Can I use for selling?
Hi. Very useful video, thank you. I was wondering if this would apply to any asset like crypto?
Hi there! I'm glad you found the video useful. Yes, the principles of moving averages can be applied across various assets, including cryptocurrencies. However, it's important to remember that each asset class may have its own volatility and unique characteristics. Always backtest and adjust the settings accordingly for the specific asset you're trading. Happy trading! 👍
Thanks so much @@TechnicalAnalysisInstitute I will test it and keep watching and learning. Thanks
Hi. Very interesting. Does it work all the way around for shorts as well?
Yes, indeed! To my knowledge there's only one indicator that works in one direction, that's the original Coppock. Other than that all examples of any strategy we teach works in both directions indistinctly. Happy trading!
I don't have the skill or program to backtest this. I wonder if you have done so and what were the results
Hi Sir. This is a nice concept. You are mentioning SMA in the content but charts in WMA. Which one is the base of this strategy? Thanks.
Thank for your feedback. I'll probably make another video explaining it because if you read the previous comments this question has popped many times.
Both SMA and WMA can be applied with this strategy. While some of the charts show WMA, the principles explained are based on SMA. The primary difference between the two is how they're calculated: SMA gives equal weight to all prices, while WMA gives more weight to recent prices. Depending on your trading preference, you can choose either. Both will yield slightly different signals, but the core concept of the strategy remains consistent. Happy trading!
@@TechnicalAnalysisInstitute thanks for quick reply. I went for few messages back but couldn’t find, sorry for the that. In this case I can have second question. Let’s I implement both sma 30 and Wma 30 into my chart and I realized Wma line follows more closely to my candles rather than sma. Should i consider the closer following one for better trading decisions ?
Great, thank you Prof .... next video should be about the exit point
Thank you for your comment! Regarding the exit point, I've actually covered it in the video. It's identified as the point where prices close below the MA and the second close is lower than the 2 relative lows. I recommend watching that section again for clarity. And thanks for the suggestion on the next video topic, it's always great to hear what viewers are interested in!
Hello sir thanks for the simple strategy one point on your charts you are using WMA and you are asking to use SMA co which one is the right combination either SMA or WMA. Thanks in advance for this wonderful work and video.
Thank you for your kind words...
To clarify, the strategy I intended to discuss uses either the Simple Moving Average (SMA) or the Weighted Moving Average. SMA is a widely used indicator that provides a clear view of the trend by averaging the price data over a specific period. It's straightforward and effective for many trading strategies.
However, the WMA can also be a valuable tool as it assigns more weight to recent data, making it more sensitive to price changes. Depending on your trading style and goals, you might find one more suitable than the other.
I strongly suggest you test both before committing any real funds to the strategy. Good Luck!
Good Sharing, Thank You Sir
My pleasure! I hope you can benefit from all the videos presented in our channel. Good luck and Happy Trading!
Thank you sir
Thx sir u r genius, love from India
Thank you so much for your kind words! It's wonderful to have support from India. I'm here to help and share knowledge. Stay tuned for more content. Happy trading! 🇮🇳✨
hello coach...
How can we make cell trade...
and we have more questions so
plz make one more video to elaburate it... thanks
Hello! I appreciate your interest and feedback. Taking short or "sell" trades using the strategy would essentially be the inverse of the buy setup. I understand there are more questions and complexities to address. I'll definitely consider creating a follow-up video to dive deeper into the sell-side and answer additional queries. Additionally, we might also cover this in one of our upcoming live streams, so be sure to stay tuned. Thanks for your support!
Hi sir,
When candle close above the moving average we are taking buy position right ? Can you kindly explain if you don't mind the other part? I mean the exit part? Because I didn't get that properly.
Absolutely, you've got the entry point right. When the candle closes above the moving average, it's typically seen as a bullish signal, and we consider taking a buy position.
As for the exit strategy, there are several possibilities. The one I discussed in the video was the opposite signal: exit the trade if the candle closes below the moving average after entering a long position. This might suggest that the trend is weakening or reversing.
There are other possibilities like trailing the stop, or deciding on specific target based on risk/reward ratio.
Thank you !
You're very welcome! Thank you for watching!
Excellent.
I hope it helps you!
I'll download and save this video
Thank you for valuing the content! Just a friendly reminder to respect copyright guidelines. It's always best to bookmark or add the video to your RUclips playlist for easy access. Enjoy and happy trading!
One of the best srategy i studied so far! Can this be applied on the daily timeframe instead of weekly?
Absolutely! I believe in the video I give examples using short term charts like 3 minutes. However, it works best in larger time frames - you get less frequent false signals. using it in short term charts require the psychological prowess and control of a Zen Master.
sir. Simple yet amazing. But may I request you to create the same strategy using the traditional Japanese candlesticks rather than the bars? That would be even more helpful io understand the concept of the relative lows. MAKE ANOTHER VIDEO OF HOW CHECK VOLUMES
Thank you for the positive feedback and the valuable suggestion! I completely understand the appeal of using traditional Japanese candlesticks as many traders are more familiar with them.
I'll take your suggestion into account and consider creating a video explaining the strategy using Japanese candlesticks.
As for the volumes, that's a great topic too! I'll definitely think about creating a dedicated video on how to assess and incorporate volume into trading strategies.
Stay tuned, and thanks for being a part of our community!
Sir, I am unable to understand the concept of relative low .can you help with some examples of candles where position had to be exited as the price went down two relative low.Also would like to know the tgts in this strategy.
"Absolutely! The concept of a 'relative low' can be visualized like a hand pointing downwards. Picture three consecutive bars: the middle one (similar to the middle finger) is the lowest, while the ones immediately before and after it (like the index and ring fingers) are higher. This forms a 'relative low' pattern.
Regarding targets: they vary depending on various factors. The one I explained on the video is when the second close below the MA is lower than the 2 previous relative lows. Hope this helps clarify things! Remember, practice on a demo account to get the hang of it. Happy trading! ✌️
Do we think that these rules apply equally to shorting a falling moving average? Can we use the same entry and exit roles when shorting or does a falling market tend to behave differently?
Markets often fall faster than they rise due to the fear factor; sell-offs can be more abrupt and volatile. This means that generally speaking shorting strategies might require quicker responses and more rigorous risk management.
However, the basic principles outlined in the video for entry and exit signals can remain the same using this strategy. Thank you for your great question!
amazing your teaching style is very good and easy to understand and this sma strategy is very good. can you make one another movie on same sma30 but with sell position.
Thank you for your kind feedback!The process for selling is exactly the same but inverted. However, there have been so many questions about selling that I'll actually take your suggestion and record another video explaining the reverse process. Many thanks!
thanks alot for quick response.@@TechnicalAnalysisInstitute
I trade something similar. Can you give any advice on Stop Loss placement? Thanks. I'm still at a crossroads deciding if to liquidate my $125k bond/stocck portfolio..
The market is volatile at this time, hence i will suggest you get yourself a financial-advisor that can provide you with entry and exit points on the shares/ETF you focus on.
Hello Sir the examples you were showing i saw you used 30 SMA on one chart and 30 WMA on another.So which one you suggest to use?
Hello! Great observation. Both the 30 SMA (Simple Moving Average) and the 30 WMA (Weighted Moving Average) have their own merits. The choice between SMA and WMA often comes down to personal preference and the specific characteristics of the market you're trading.
The WMA gives more weight to the recent prices, making it more sensitive to recent price action. On the other hand, the SMA gives equal weight to all data points, offering a smoother overview of the market trend over the period.
For the strategies I demonstrated, you can experiment with both to see which aligns better with your trading style and the particular asset you're trading. It's always a good idea to backtest any strategy with both types of moving averages to determine which one offers better signals for your specific scenario.
Remember, there's no one-size-fits-all answer in trading. It's all about finding what works best for you. Happy trading!
Excellent video with very good explanation
Thank you so much for your positive feedback! I'm really glad you found the video and the explanation helpful. Stay tuned for more content like this! 🌟
Thanks for sharing. Do I understand correctly, that the 30 SMA strategy only takes long trades when price is above 200 SMA?
You're welcome! What an amazing question. I thank you for bringing it up.
While the video suggests that taking long trades when the price is above the 200 SMA can offer a better confirmation of an upward trend, it doesn't strictly mean that you can't take long trades before that. But it is clear that any buy signal will work better after the uptrend is confirmed.
The 200 SMA is a general guideline indicating the primary trend. Prices being above the 200 MA is often considered a sign of an uptrend. However, with the 30 SMA strategy, and since it can be applied to any time frame, it's possible to take long trades even before the price reaches above the 200 SMA.
Now let me be clear about it: any buy signal will have better odds when prices are above the 200 Moving average and every sell signal will have better odds when prices are below the 200 MA: Just applying that to any strategy, it will increase its winning ratio.
Thank you so very much for question and happy trading!
@@TechnicalAnalysisInstitute Thanks for the clarification!
Thanks sir
Thank you for watching and for your kind words! Always here to help and share insights. Stay tuned for more content
kindly tell can we reverse position in this strategy if yes then how and when to reverse positions according to this strategy, i am not able to find anyway in this scenario
No, this strategy isn't designed to keep you perpetually in the market or to frequently reverse positions. If you've taken a long position, it's based on your analysis and judgment that the trend is upward. Our taught exit strategy aims to shield you from premature exits. To change your perspective on the trend direction would require further analysis and compelling evidence. So, while you can theoretically reverse a position, this strategy doesn't inherently provide a mechanism for such reversals based on its core principles. Always ensure your decisions align with the foundational logic of the strategy you're employing. I hope this helps you...
Boa Tarde:
No intraday 15 minutos pode se operar vendido quando o primeiro candle vermelho fechar abaixo da media aritmética de 30 períodos.
Boa tarde! Thank you for your question. Yes, in a 15-minute intraday timeframe, going short when the first red candle closes below the 30-period moving average can be a part of your trading strategy. However, the moving average must be pointing down!!
Always ensure to combine this with a thorough analysis, other indicators or a confirmation of trend reversal for a stronger signal. Be mindful of risk management and happy trading
Hi,
The strategy is well explained ,are you using it specifically for Buy entries or for Sell as well?
All strategies we teach can be applied to all assets in both bull and trend markets. That's because technical analysis is universal.
Wow, that video presentation on the single moving average strategy is absolutely genius! The way it's explained and the insights provided make it truly amazing. Kudos to you Sir for sharing such an insightful and effective trading strategy! However, I have a suggestion and a question.
1. I found your video incredibly insightful, especially the part about the exit strategy. However, I'm hoping for a bit more clarity on that aspect. Could you please consider re-explaining the exit strategy or perhaps provide some additional examples? Your insights are greatly appreciated!
2. Your explanation about the two significant relative lows and their relationship to the moving average was really helpful. I just want to make sure I've got it right. Should both significant relative lows be below the MA, or is it possible to have the first relative low above the MA and the second below, or even both above the MA? Your clarification on this point would be fantastic. Thanks a bunch!
Thank you so much for your wonderful feedback! I'm thrilled to hear you found it insightful and helpful.
Regarding your question on the exit strategy, I think it would be best addressed in our Wednesday live stream. These sessions are specifically designed for deeper clarification and interaction, which can be challenging to convey through written explanations alone. I would love to have you join us in the next live stream, where I can re-explain the exit strategy with additional examples and answer any other queries you might have.
As for your second question about the relative lows in relation to the moving average, it's a great point to explore further. Join us in the live stream, and we'll dive into this topic to ensure you have a clear understanding. It's important to me that you're fully confident in applying these concepts.
Looking forward to seeing you in the live stream, and thanks again for your engagement and insightful questions!
Thanks for the engagement and insightful responses! See you in the live stream! 👋📈. Please share the date and time because I am from Malaysia.
#TechnicalAnalysis #LearningJourney
@@meckhel Always check our community tab. All the details are always there. See you there...
Prof... How to know if the SMA is steeply pointing upwards or downwards? Do you use naked eyes to determine that?
Yes indeed! Also try to have an average of 200 bars on your chart. That way you won't spread it too much and the slope of the average will be preserved.
I looked at the strategy you mentioned using random shares, all of which had the opposite effect - when I found two lows than the closing price of the second candle below the SMA30 (CLOSE), the price began to drop sharply and over time. When I found two lows that were higher than the second candle's low that closed below SMA30 (CLOSE), the price went up. I checked on the hours/daily/weekly/monthly graph and all of them had the same results. What did I do wrong?
Thank you for reaching out and sharing your experience with the strategy. It seems like there might be a bit of a mix-up in the interpretation. Let me clarify to ensure we're on the same page.
The strategy revolves around using the 30-period Simple Moving Average (SMA) as a trend indicator and a signal for entry and exit points. When the price closes above the SMA that is pointing upwards, it's considered a buy signal. The unique aspect of this approach is the exit strategy.
For the exit, you don't just wait for a close below the SMA; you look for a close that is also below the two previous relative lows on the chart. This is a stricter condition because it combines the SMA signal with price action, enhancing the exit signal's robustness.
If you're observing that after a second close below the SMA (where the close is below the two previous relative lows), the price drops sharply, that's consistent with what the strategy anticipates as a sell signal or an exit point for long positions.
On the other hand, if the second close below the SMA does not break below the two previous relative lows, the price then moving upwards suggests the downtrend isn't confirmed, and exiting might be premature if you're looking at long positions.
It's essential to remember that no strategy works 100% of the time, and market conditions can greatly influence outcomes.
Also, consider the overall market trend and other technical indicators that could give more context to the SMA signals. If you’re consistently observing the opposite effect, it might be worth examining the specific conditions or markets where this occurs and adjust the strategy accordingly.
I hope this helps clarify the strategy. Keep experimenting, and don't hesitate to ask if you have more questions!
Thanks!
Wow, thank you so much for your generous donation! Your support truly means the world to me, and it helps keep the channel going. I'm so glad you're finding value in the content. If there's anything specific you'd like to see more of, please let me know. Your input is invaluable. Thanks again for being such an amazing part of our community!
Can you make the bars in candles for easy identification. Thanks
For your request to make the bars in candles for easy identification, I would actually recommend using bars in this particular case. Bars can be more effective for easy identification in certain strategies.
However, to understand the differences, advantages, and disadvantages of using candles and bars, I highly recommend watching this video from the Technical Analysis Institute:
ruclips.net/video/s9tQsF5CqSs/видео.html&ab_channel=TechnicalAnalysisInstitute
It provides a detailed explanation that will help you decide which is best suited for your needs.
Wow cool, thanks for sharing, but I usually use the unfilled order strategy in the nfc community.
You're welcome. I'm not familiar with the "unfilled order strategy", but as long as it gives you an edge, confidence and it works, you need nothing else. To succeed in trading we only need one thing that works. That's it! I'm glad you found your one thing...
Thank you. Like way you explain, how to apply 30 days sma indicator and what is the setting? Appreciate give answer. Thank you in advance
Thank you for your kind words and your question! To apply a 30-day Simple Moving Average (SMA) indicator, you would set the period or length setting of the SMA to 30. This means the indicator will calculate the average closing price of the last 30 days and plot it on your chart.
Here’s a step-by-step guide on how to set this up, typically using a trading platform or charting software:
Locate the indicator section on your trading platform.
Choose the Simple Moving Average (SMA) from the list of available indicators.
When prompted for the settings or to edit the indicator, set the 'Period' (sometimes labeled 'Length') to 30.
Apply the indicator, and it will automatically calculate and display the 30-day SMA on your chart.
The 30-day SMA will give you a smoothed representation of the price action over the past month, helping to filter out the 'noise' of day-to-day price fluctuations and show you the underlying trend.
Remember, the SMA is typically based on the closing prices, but some platforms allow you to base it on the open, high, or low prices as well. Make sure it is set to 'close' if you're following the method I suggested in the video.
Thank you for your quick reply. but sorry I can't find simple moving average on trading view platform I can see their moving average simple but there is length and smoothing length, so I am confused there. If you can, please clarify. Thank you.
@@s.ribadiya Of course! In trading view, under indicators, chose Moving Average Simple. Then adjust the length to 30. That's all you have to do! Hope that helps you.
This is just amazing, there is nothing more one needs in trading....
You're absolutely right! Your comment just inspired our live stream. I'll talk precisely of that: We need only one thing to succeed!
Can you show situations where there was SL? Also, what is the the Win ratio and RR of this strategy typlically? Thanks so much for the content
Thank you for your comment. In the video, I did go over where to place the stop losses during the trade examples. It's crucial to ensure we manage our risks adequately. Please re-watch those sections for clarity.
As for the Win Ratio and Risk-Reward (RR) of this strategy, it varies depending on the person, market conditions and timeframe. I recommend back-testing it for your specific use case to get an accurate measure. Thanks again for your engagement, and let me know if you have any more questions!
Thank you for your response …will check it out
@@TechnicalAnalysisInstitute he asks to show a losing trade also, not just a winning trade.
I watch the video twice and no stoploss was mentioned or shown?@@TechnicalAnalysisInstitute
Very good examples though I have a question: if I buy above the MA and price went fairly low, how far away is the stop loss?
Thank you for your question! As mentioned in the video, the stop is typically placed below the lowest of the two previous relative lows. It's a key point in the strategy, so I'd recommend re-watching that segment for a clearer understanding. Always ensure you're comfortable with the level of risk before placing a trade. Hope that helps!
Very helpful. Thankyou 😀