EMA Essentials - How It Works for TradersThe Moving Average (MA) is a widely used tool in various markets. In simple words, Moving Averages (MA) are extra lines on the price chart of an asset. They look similar to the price chart but appear slightly delayed and smoother, without the ups and downs.
Moving Averages in Crypto.
Crypto and Moving Averages
In the world of cryptocurrency, we pay close attention to a couple of key patterns: the golden cross and when prices touch the 200 EMA.
The first pattern points to market volatility, while the second one often signals the presence of robust potential support and buying opportunities.
What's the difference between moving averages?
There are a few structures of it:
Moving Average
Exponential Moving Average
Weighted Moving Average
What about the strategies of EMA?
Moving averages make a visible entry, you understand where big players can make deals. In that meaning, you can buy if the price goes above the average and sell when it drops below.
Choosing between Simple Moving Averages (SMAs) and Exponential Moving Averages (EMAs) can be tricky. EMAs react faster to current market moves, giving early signals but sometimes false ones.
If you want to beat the market, remember, it's tougher than basic timing strategies. In a good situation, many strategies work because things are positive. But when times get tough, lots of strategies can't prevent losses.
In trading, folks often talk about the "golden cross" (good times ahead) and the "death cross" (not-so-good times). These terms are all about how different moving averages work. People usually watch the 50-day and 200-day MAs. When the 50-day goes above the 200-day, it's called a "golden cross," which is a good sign for trading. But if the 50-day goes below the 200-day, it's a "death cross," indicating a not-so-great time for trading.
I also want to mention the "pull in" pattern. This occurs when the EMA lags behind the price, which can be advantageous for your trade.
In conclusion
What is the most important thing about working with this feature?
Integration with pattern and trading chart patterns
Use it as confirmation for entry points.
Collect data on previous retracements, sometimes new formations appear on the market, which have a new logic.
What are some formations to watch?
Breakout, Breakout with retracement, Pullback from impulse, Pullback from trend into density by volume indicator
Have a nice day, traders! I am always glad to talk with you in the comments! I will appreciate your likes!
Emacrossover
EMA 200 Support : Bullish Signal 🚀📈📊 The EMA 200 Line: Imagine the EMA 200 as a historical trail, highlighting the average price over the past 200 days. It's like a long-term perspective on Bitcoin's performance, smoothing out short-term fluctuations.
⏳ The Prolonged Stay: Looking back, we find that Bitcoin spent a whopping 280 days beneath the EMA 200. This period reflects a phase of prolonged consolidation, indicating a more neutral market sentiment.
🚀 The Bullish Breakout: What's captivating is the moments when Bitcoin managed to break above the EMA 200 after such a prolonged stay. These breakouts often signaled the dawn of a bullish trend, igniting excitement among investors.
📈 A Signal of Potential: The EMA 200 breakout holds significance because it reflects a shift from consolidation to potential growth. It's like breaking through a ceiling, paving the way for upward momentum.
💡 Insight for Investors: While the EMA 200 isn't a crystal ball, it's a tool that savvy traders keep an eye on. A breakout above this line might indicate a potential shift in market sentiment and a new chapter in Bitcoin's journey.
So, what's the bottom line with the EMA 200 and Bitcoin's story? 🚀 It's about recognizing patterns that history unveils. The EMA 200 breakout often hints at a potential shift from stagnation to a more bullish terrain.
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Bitcoins weekly EMA'sWhen looking at bitcoins weekly EMA's we have a few interesting things develop. First,we have the 20 EMA crossing under the 200 EMA, coincidentally, its also the first time the 50 EMA has crossed under the 200 EMA. ( side note , the 100 has never crossed under the 200 and i dont expect it to this bear cycle.) To me both of these occurrences mark the bottom especially when looking at the longer time frames. The price rarely wants to stay under the 200 Weekly EMA which we're currently testing at around 25668.
in the coming weeks i foresee the 20 crossing back above the longer time frames and we rally towards 35k to 42k before retesting 28.8 k as support.
NASDAQ SHORTNasdaq looking to go short as the H4 & Daily EMA's start to have correlation signaling a change in direction along with a trendline and support that has been broken and retested. The first target will be @15260.00 where our SL will be moved to BE and some positions bagged and then hold the remaining till 15000.00 Psychological level.
Potential of Gooner EMA Crossovers in Bull Markets 📈🐂The Gooner EMA crossover strategy revolves around the interaction of two Exponential Moving Averages – a short-term EMA and a long-term EMA. When the short-term EMA crosses above the long-term EMA, it generates a bullish signal. Conversely, when the short-term EMA crosses below the long-term EMA, a bearish signal emerges.
The Influence of Gooner EMA Crossovers in Bull Markets:
Gooner EMA crossovers carry substantial implications, particularly in bull markets. Here's why they matter:
Trend Confirmation: A bullish crossover, where the short-term EMA crosses above the long-term EMA, confirms the presence of an emerging bullish trend. This indicates potential upward momentum and the possibility of sustained price appreciation.
Entry Point Identification: Gooner EMA crossovers offer traders an opportunity to pinpoint entry points in bull markets. When the bullish crossover occurs, it signifies that the asset's momentum is shifting positively, making it an ideal moment to consider initiating a long position.
Visual Clarity: Crossovers are visually evident on price charts, making them easy to identify. Their clear representation provides traders with a straightforward signal for making informed trading decisions.
Timing Advantage: Gooner EMA crossovers offer traders timely insights into market shifts. Acting promptly upon the occurrence of crossovers enables traders to capitalize on the evolving market conditions effectively.
Supporting Technical Analysis: While Gooner EMA crossovers are strong indicators, combining them with other technical tools can enhance your analysis. Confirming crossovers with additional indicators or patterns adds another layer of confidence to your trading decisions.
Conclusion:
In the realm of trading, Gooner EMA crossovers are a powerful tool, especially in bull markets. They serve as robust signals for confirming bullish trends and identifying potential entry points. As you navigate the dynamic landscape of trading, integrating Gooner EMA crossovers into a comprehensive trading strategy alongside other technical indicators and analysis tools can elevate your decision-making prowess and empower you to seize opportunities effectively. Remember that successful trading involves a holistic approach, discipline, and continuous learning. 🚀📈
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EURGBP LONG breakout and retest 29 JUN 66 (education)
In the weekly chart, the price show 2 consecutive large green indicate price reversal.
The price of EUR/GBP pair broke out of the range in 45Min TF and throwback at the resistance become support level.
The EMA crossover shows the bullish momentum for entry.
The candlestick that confirm bullish rejection at the resistance become support level is "Doji"
Therefore, i decide to entry at the current price and stop loss slightly below EMA "34" .
The profit target is 2.00 RR.
# i decide to use EMA as dynamic support level after price start trending market.
EURUSD Eyeing a Dip Before Resuming Bullish TrendBased on my analysis, I anticipate that the EURUSD currency pair will experience a decline in the coming week, reaching a level of 1.084. My forecast is grounded on several technical indicators and chart patterns.
Firstly, the market structure suggests a potential downward movement.
Secondly, the price is interacting with key support and resistance levels, which often act as turning points.
Thirdly, the Fibonacci retracement levels indicate possible areas where the price may reverse.
Additionally, the price is touching the 8-day Exponential Moving Average (EMA), which can act as a dynamic support or resistance.
Lastly, the Stochastic RSI is in the overbought territory, which often signals that the asset is overvalued and may experience a pullback.
While these signals point to a short-term correction, it is important to note that the overall trend on the daily and weekly timeframes remains bullish, and the price is likely to resume its upward trajectory after the correction to 1.11 or even 1.12 by the end of the month.
CHEMFAB ALKALIS - BREAKOUT HELLO FRIENDS,
Here I am sharing CHEMFAB ALKALIS which recently have given breakout of Flag and Pole chart pattern and also forming Head and Shoulder pattern
it has given breakout of flag n pole pattern with intensity of volume and the indicator that supports to take trade which are MACD and RSI are also in favor.
Flag N Pole breakout
The price is also trading above the significant EMAs i.e. 50-100-200
Macd in Daily time frame
Macd in Weekly time frame
RSI at the breakout candle is positive uptick and is also above 60 which shows strenght
Disclaimer
I am not SEBI registered analyst.
All my studies are for educational purposes.
I am not Responsible for any kind of your profits and losses.
PacWest Bancorp Collapse - 90% fall in price 2nd analysis as per pre market on hourly time frame, will wait to see how price reacts against company decision on dividend cuts, will keep add multiple indicators how price is behaving based on certain events in market.
S&P EMAs at Historical Critical PointCME_MINI:ES1!
So I opened the chart at the weekend and flicked through the time frames and upon punching the Weekly I noticed the 21EMA and the 89EMAs were pretty tight. I decided the rest of the morning looking through the historical relationship of these two EMAs. It turns out that each time the 21EMA has come down to the 89EMA, there has been a violent reaction. In general, when there are moderate to minimal macros effecting the markets, this reaction represents a strong opportunity to long. In fact, the 21EMA has never dipped below the 89EMA and recovered until months to years later. On the flip side, on the two occasions the 21EMA did dip below the 89EMA, was in 2001 and 2008...two very significant moments in market history.
I also noted that once the break happens the S&P tends to bottom at around 40%-50% of that breaking point. If we were to use today's valuation, a 45% drop from today is around 2200. That is also the bottom of the COVID crash i.e. where the real market was going to be trading before infinite stimulus was provided by the Fed.
I found this interesting as it seems in these troubling times and with a 'nuclear winter' around the corner in Europe, there is a real macro concern for markets. I'm leaning bearish and I think this rally will fail like every rally this year and lead the 21EMA below the 89EMA. Obviously, I react to the chart and should there be a strong reaction off the touch upwards, I will be flipping bullish.
📊 The 3 EMA Crossover StrategyThe 3 EMA (Exponential Moving Average) strategy is a popular trading strategy that uses three exponential moving averages of different time periods to identify potential buying and selling opportunities in the market. The three EMAs used in this strategy are the 10 EMA, 25 EMA, and 50 EMA.
🔹What is an EMA Crossover?
An EMA crossover occurs when two different EMA lines cross one another. The crossover doesn't predict future trends, but rather shows the ongoing direction of a trend. That being said, the crossover might actually give a signal that a trend could be ending and will soon be replaced by a new trend.
🔹Why Use 3 EMAs Together?
The three EMAs can give stronger confirmation than just two EMAs crossover. It can also give a better context to the price action in relation to the three EMA lines displayed on the chart. Three EMAs crossing above the price at the same time is a strong bullish signal, while three EMA crossing below the price at the same time is a strong bearish signal.
The crossover of the 10 EMA above the 25 EMA and the 25 EMA above the 50 EMA is used to identify a long position opportunity.
This is known as a bullish crossover, indicating that the trend is shifting from bearish to bullish.
When the 10 EMA crosses above the 25 EMA, it suggests that the short-term trend is beginning to turn bullish, and when the 25 EMA crosses above the 50 EMA, it suggests that the long-term trend is also becoming bullish.
This combination of short-term and long-term trends shifting in a bullish direction can be a powerful signal for traders to enter a long position.
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📅 Daily Ideas about market update, psychology & indicators
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Trend MasterTrend Master usage.
0. Change to Heiken Ashi
1. Look for SAR buy/sell signal from Indicator
2. Identify trend price above 200MA or below MA200
3. Confirm with MA cloud
4. look for color of SR line it must be Blue for buy / Red for sell
5. Price (open) must be
above SR line for buy / below SR line for sell
GOLD Bullish Momentum (LONG IDEA)
The XAU/USD pair appears to be in a bullish momentum, as evidenced by the higher highs and higher lows seen on the chart. Additionally, the price is moving within an upward trend channel, creating a bullish triangle for accumulation before a potential breakout.
Currently, the price has made a higher high and is undergoing a correction. It is essential to wait for the price to reach the observed zones before making any trading decisions.
These zones are particularly strong due to the presence of Fibonacci clusters. As such, when the price reaches these zones, it is crucial to watch for the formation of bullish candlestick patterns such as pin bars, inside bars, engulfing patterns, and dojis.
Upon the appearance of these signals, a long order can be considered with a target of a 4:1 reward-to-risk ratio. By risking 1% of the trading portfolio, a potential gain of 4% can be achieved if the price moves favorably.
AUDCADGood Night :)
AUDCAD has been examined in different dimensions:
1- Strong supply and demand levels that I identify with my own indicator and system.
2- The structure of recently formed waves
3- Current market momentum
4- The structure of classical and price patterns
In this idea, I identified the direction of the market in different ways and in the second step, I analyzed the potential of continuation or reversal. Usually, paying attention to the trend and strength of the trend can greatly increase the accuracy of the analysis.
In general, I tried to describe the continuation of the movement in the simplest possible way in the diagram.
⚠️ Disclaimer:
This is a personal opinion and you are responsible for any trading decisions.
EMA Crossing and Breakout of Support in EUBUND (15 Min Time)Hello Traders,
The EUBUND has been showing signs of bearish momentum in the 15 min time frame as indicated by the EMA (Exponential Moving Average) crossing and the breakout of the support level. This suggests that there may be a potential trading opportunity for sellers in the short term.
GBPJPY buy ideadipping back into the same weekly level we respected last week...4hr is now bullish, will be buying until 4HR EMA MA cross bearish again
*ideas created and published by me on TradingView is not prohibited, doesn't constitute investment advice, and isn't created solely for qualified investors.
LFB: That's one small step for man, one giant leap for mankindTargets:
TP: 13.4K
TP: 9.8K
TP: 5.4K
SL: 21.3K
Reasoning:
1. Ema crossover
2. Fib Circles
3. Descending Channel
4. Banks
5. Timing - Global Shifts - Politcs - liquidations
Not financial advise and not to be construed as such, I'm not a financial adviser or trader licensed by any organization nor do I claim to be. These are the thoughts, beliefs, and opinion for why I am shorting the 20K level.
NZDCAD BULLISH FLAG PATTERN Okay, NZDCAD respect daily time for Support and trade move to continue the channel. NZDCAD builds up DOUBLE BOTTOM Pattern with BULLISH FLAG Pattern and breaking Flag range with retest 30 Mint chart EXPONENTIAL 20, 50, 100, 200, Cross over all EMA and Retest 20 EMA, 50 EMA, MOVE UP SIDE again. then I open Long Trade.
Power of Inside Bar - Cingniti TechInside Bars if used wisely, can give us astonishing results in Trading.
Let's understand this scenario.
Stock Name - Cigniti Tech
After 20th Feb 2023, on D TF, this counter merely had any move! More or less it had inside Bars with totally squeezed close prices compared to earlier close. if you observe, closing prices are getting squeezed day by day with drying up sales volume. This indicates sellers are loosing control & buyers ay pitch in!
Following are reasons for my Long view -
1. Stock is in Up Trend.
2. Stock prices are above 200 EMA
3. 10 & 20 EMAs are above 200 EMA.
4. RSI has crossed 55
5. Nifty IT index is in uptrend, so sectors is booming.
So my entry would be on crossover of high of 7th Feb. Same setup & logic can be applied while entering stock on 3rd March, as its crossing previous high of 2nd march for a quick move on upside.
EURUSD : BULL Market Coming FX:EURUSD
Hi , Trader's Our last Analysis Hit Target
Now Market is retesting it's major support level
Buyer's Can gain momentum and push market up from Current level
Once candle closes above 20,50,200 ema which is on same point almost , can boost market up
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