BitcoinUpdated Trend EMA Indicator
EMA
The EMA is very popular in virtual currency trading (BTC/USD).Exponential moving average (EMA) differs from a simple moving average (SMA) by a weighted average being given to recent price data. The EMA reacts much more quickly to recent price changes than the SMA does.
Trend Indicator
Using daily chart, traders follow the 5-13 EMA. When the 5 is above the 13 EMA (green) the trend is strongly rooted bullish. When the 5 is below the 13 EMA (red) the trend is bearish. Blue crosses signal when a trend has changed.
The EMA is very popular in virtual currency trading (BTC/USD).Exponential moving average (EMA) differs from a simple moving average (SMA) by a weighted average being given to recent price data. The EMA reacts much more quickly to recent price changes than the SMA does.
Trend Indicator
Using daily chart, traders follow the 5-13 EMA. When the 5 is above the 13 EMA (green) the trend is strongly rooted bullish. When the 5 is below the 13 EMA (red) the trend is bearish. Blue crosses signal when a trend has changed.
Note
4 Hour Chart - more volatile, but quicker signalsNote
With any system it is impossible to eliminate false signals. However, you can reduce them by finding what intervals works best based on hourly-daily-weekly volatility.Note
Waiting for confirmation is always better than attempting to picking exact bottoms or tops.
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