Question about moving averages

K

KGTrader4

I’m playing around with some ideas and have a question….

say I want to look at longer term time frames, trend following, and in terms of timing, position trading. So instead of daily charts, I set my chart to weekly.

and I also want have a cleaner chart and want to stop looking at shorter term MAs, which if I’m looking to trade longER term trends, is just noise.

so I eliminate all the MA’s from my chart settings, EXCEPT the 200 MA.

The thing is though, if I’m on a weekly chart, the MA set to 200 will show me a 200 week MA. This doesn’t “feel” right to me. Should I be setting the MA to 30, which would give me a 30 week MA, essentially, a 200 DAY MA?
Seems like I would want to know where the stock is and how it’s trending, relative to the 200 day, even though I’m looking at a weekly chart?

thoughts appreciated
 
You could do that, or you could just look at the daily chart and make the MA 200. But the whole reason of looking at a bigger time frame is to see more long term results and how longer term traders react.

I personally like to look at the 90 and 200 MA on daily and weekly.
 
KGTrader4 said:
I’m playing around with some ideas and have a question….

say I want to look at longer term time frames, trend following, and in terms of timing, position trading. So instead of daily charts, I set my chart to weekly.

and I also want have a cleaner chart and want to stop looking at shorter term MAs, which if I’m looking to trade longER term trends, is just noise.

so I eliminate all the MA’s from my chart settings, EXCEPT the 200 MA.

The thing is though, if I’m on a weekly chart, the MA set to 200 will show me a 200 week MA. This doesn’t “feel” right to me. Should I be setting the MA to 30, which would give me a 30 week MA, essentially, a 200 DAY MA?
Seems like I would want to know where the stock is and how it’s trending, relative to the 200 day, even though I’m looking at a weekly chart?

thoughts appreciated
More...

many people don't like to hear this;
SIMPLY remove all MAs.

Why. Again many people don't want to comprehend these and
many people wouldn't listen to these ;

The market moves in various
manner / fashion / pattern

Sometimes, it moves slower than a snail.
Sometimes, it moves faster than a hypersonic missile.




Anyway, many people will add more and more and more MAs
(and more and more indicators)
until they can't see the price / candlesticks.
In fact, this was what my trading coaches ( hopeless unsuccessful traders actually)
did.


many people simply like Guppy's MAs plus many many others.
and they will continue with the MA exploration till they are bankrupt.

Good Luck
and best wishes for your MA exploration.
 
Last edited:
If there is any value in using moving averages (IMO doubt it, other than to know what the crowd might be looking at) the length should make "math" sense.

200 days / 5 day week = 40, not 30.

13 week average = quarter

52 week average = (of course) year

etc etc
 
KGTrader4 said:
I’m playing around with some ideas and have a question….

say I want to look at longer term time frames, trend following, and in terms of timing, position trading. So instead of daily charts, I set my chart to weekly.

and I also want have a cleaner chart and want to stop looking at shorter term MAs, which if I’m looking to trade longER term trends, is just noise.

so I eliminate all the MA’s from my chart settings, EXCEPT the 200 MA.

The thing is though, if I’m on a weekly chart, the MA set to 200 will show me a 200 week MA. This doesn’t “feel” right to me. Should I be setting the MA to 30, which would give me a 30 week MA, essentially, a 200 DAY MA?
Seems like I would want to know where the stock is and how it’s trending, relative to the 200 day, even though I’m looking at a weekly chart?

thoughts appreciated
More...

A 30 week MA would be 150 days.

The most followed MAs are the 200 day and 50 day.
 
maxinger said:
many people don't like to hear this;
SIMPLY remove all MAs.

Why. Again many people don't want to comprehend these and
many people wouldn't listen to these ;

The market moves in various
manner / fashion / pattern

Sometimes, it moves slower than a snail.
Sometimes, it moves faster than a hypersonic missile.




Anyway, many people will add more and more and more MAs
(and more and more indicators)
until they can't see the price / candlesticks.
In fact, this was what my trading coaches ( hopeless unsuccessful traders actually)
did.


many people simply like Guppy's MAs plus many many others.
and they will continue with the MA exploration till they are bankrupt.

Good Luck
and best wishes for your MA exploration.
More...

Just about every chart ive looked at has some reaction to MAs. Other traders use them so why not look? Its nice to make a little 1% every now and then
 
200 week is support for long term pension funds, above 50 day is earnings ok, above 200 day is hold don't sell, above 5 day is recent good news and intraday is gamesmanship(pain).
 
Tokenz said:
Just about every chart ive looked at has some reaction to MAs. Other traders use them so why not look? Its nice to make a little 1% every now and then
More...

Collecting other views of the market is a source of edge. There are a segment of traders whom use it regardless of it's efficacy relative to other methods.
 
The majority of professionals (running funds) over time lose. The majority of small traders over time lose. Why follow the majority?
 
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