Geometric moving average (I usually use 9 period MTF from higher timeframe) is good filter for noise. In congestions it also tells the direction as it draws distinct wave patterns. Usually there are 3 corrective waves after series of impulsive moves. Hence price should make new higher high. Geometric moving average is often refferred as Exponentially Weighted Moving Average (EWMA) and was invented in 1959 by Roberts.
Tradingview´s GMA does not have MTF feature. Hence I am using 36 hours GMA which equals to 9 period GMA from 4 hrs chart. Note I am using not close but mean price (HL/2).
For educational purposes only.
Tradingview´s GMA does not have MTF feature. Hence I am using 36 hours GMA which equals to 9 period GMA from 4 hrs chart. Note I am using not close but mean price (HL/2).
For educational purposes only.
Trade closed: stop reached:
This was a BAD trade! Too much cobgestion but there had been signs to short which I missed to notice. GMA is junk.