How to Use Moving Averages in TradingViewMaster moving averages using TradingView's charting tools in this comprehensive tutorial from Optimus Futures.
Moving averages are among the most versatile technical analysis tools available, helping traders analyze trends, identify overbought/oversold conditions, and create tradeable support and resistance levels.
What You'll Learn:
Understanding moving averages: lagging indicators with multiple applications
Simple moving average basics: calculating price averages over set periods
Key configuration choices: lookback periods, price inputs, and timeframes
How to select optimal lookback periods (like 200-day) for different trading styles
Using different price inputs: close, open, high, or low prices
Applying moving averages across all timeframes from daily to 5-minute charts
Analyzing price relative to moving averages for trend identification
Using 50-day and 200-day moving averages for trend analysis on E-Mini S&P 500
Mean reversion trading: how price tends to return to moving averages
Trend direction analysis using moving average slopes
Famous crossover signals: "Death Cross" and "Golden Cross" explained
Trading moving averages as dynamic support and resistance levels
Advanced moving average types: weighted and exponential moving averages
Applying moving averages to other indicators like MACD and Stochastics
Balancing sensitivity vs. noise when choosing periods
This tutorial may benefit futures traders, swing traders, and technical analysts who want to incorporate moving averages into their trading strategies.
The concepts covered could help you identify trend direction, potential reversal points, and dynamic trading levels across multiple timeframes.
Learn more about futures trading with TradingView:
optimusfutures.com
Disclaimer:
There is a substantial risk of loss in futures trading. Past performance is not indicative of future results. Please trade only with risk capital. We are not responsible for any third-party links, comments, or content shared on TradingView. Any opinions, links, or messages posted by users on TradingView do not represent our views or recommendations. Please exercise your own judgment and due diligence when engaging with any external content or user commentary.
This video represents the opinion of Optimus Futures and is intended for educational purposes only. Chart interpretations are presented solely to illustrate objective technical concepts and should not be viewed as predictive of future market behavior. In our opinion, charts are analytical tools—not forecasting
Moving Averages
How To Filter Signals On The 1 Minute Scalping IndicatorThis tutorial shows you how to use external indicators to filter out signals on the 1 Minute Scalping Indicator so that you only get signals that are in the direction of the trend.
Step By Step Process:
1. Pick an external indicator that provides an output value of 1 for bullish, -1 for bearish or 0 for neutral and add it to your chart. We have multiple indicators that can do this, but you can also customize your own indicators to provide this value and use that to filter out signals.
2. Set your desired trend parameters on your external indicator and make sure that indicator is on the same chart as the 1 Minute Scalping Indicator.
3. Go to the indicator settings for the 1 Minute Scalping Indicator and turn on one of the 3 available External Indicator Filters. Then from the dropdown menu, select the external indicator you want to use and make sure to choose the output value that gives the 1, -1 or 0 output for trends. Our indicators will have an output titled "Trend Direction To Send To External Indicators" to make that value easy to find in the dropdown menus.
That's it! Let the 1 Minute Scalping Indicator reload with the external indicator trend values and it will only show buy signals during bullish trends, only show sell signals during bearish trends or no signals during neutral markets. Make sure to back test your setup until you find the best external indicators and settings to use that work best for your trading style and then apply that setup to any chart you would like.
Here is the code you can use to add a trend value to your own custom indicators and send it to the 1 Minute Scalping Indicator:
trendDirection = 0
if close > ema1
trendDirection := 1
else if close < ema1
trendDirection := -1
else
trendDirection := 0
plot(trendDirection, title="Trend Direction To Send To External Indicators", color=#00000000, display=display.data_window)
Change the (close > ema1) and (close < ema1) to use your own variables from within your script.
Benchmarking a trend with a moving average (Example: Gold)They say a bad workman blames his tools.
Quite often, good work means using the right tools.
In a trend you need to use trend-following tools - and the most famous indicator is the moving average.
When it's a fast-moving trend, you need to use averages taken over shorter periods (e.g. 20 day SMA > 200 day SMA). Likewise a slower trend needs averages taken over longer periods (e.g. 20 week > 50 day).
Gold has just bounced off the 20 week moving average for the fourth time. The market is clearly benchmarking this trend according to this specific average.
So while the price is above this moving average the trend is intact - and when it eventually breaks below it will be an important signal that the strength of the trend has weakened - and could be about to reverse.
On the daily chart a rising trendline has broken but we would argue the reason the rebound off the low has been so strong is because the price rebounded off the 20 week moving average.
For now our bias is bullish but there are no good risk:reward opportunities to buy and it remains unclear whether the short term uptrend can continue after the trendline break
The SAFEST Entry Technique - 18 Period Moving Average MethodA great deal of viewers have contacted me asking how I "time" the market. In other words, once I've identified a market as "set up" (via COT strategy or Valuation Strategy), how do I get into a trade.
This video is the first in a series that will outline the entry techniques that I use.
18 PERIOD MOVING AVERAGE ENTRY METHOD:
By far, this method is the safest change of trend confirmation that you will find. There are other entry techniques that will get you into the market sooner, sure. But those other entry techniques come with greater risk, and could be called "bottom picking" to some degree.
The 18 Period MA Entry Method is simple.
STEP 1: Plot the 18 period SMA on your chart based on the closing price.
STEP 2: For LONGS , you need to see two full range candles form ABOVE the MA. From there, mark out the highest high of those 2 candles. When price trades up into that high, the trend has officially changed to bullish. For SHORTS , you need to see to full range candles form BELOW the MA. From there, mark out the lowest low of those 2 candles. When price trades down into that low, the trend has officially changed to bearish.
CAVEAT: We do not count inside bars (bars that form within the range of the previous candle). If you see inside bars, skip them and continue your 2 bar count.
STEP 3: Enter at market when high/low is breached. Risk management is something I will review in another video, but generally, I add/subtract 120%-150% of the 3 bar ATR.
CLARIFICATION: To be clear, this entry technique should not be traded blindly. You need to have a REASON to take the trade (for example, COT strategy suggests a market is setup for a trade, or the Valuation/Ducks in a Barrel setup suggests a market is setup for a trade).
CREDIT: I credit Larry Williams, Tom DeMark, Brian Schad & Jake Bernstein for their influence in these ideas.
If you have any questions about this entry technique, feel free to shoot me a message.
Good Luck & Good Trading.
How to ride trend and exit positions using Shlionz MAsBuy Signal:
Trend Start: Buy when EMA 50 crosses above EMA 200.
Pullback Entry: Buy when the price pulls back to MidBB or EMA 50 in an uptrend, with WMA 10 crossing above MidBB.
Confirmation: EMA 5 crossing above EMA 10 (WMA 10) can serve as additional confirmation for entry.
Sell Signal:
Trend Reversal: Sell when EMA 50 crosses below EMA 200.
Pullback Exit: Sell if WMA 10 crosses below MidBB or EMA 50 after a pullback.
Confirmation: EMA 5 crossing below EMA 10 (WMA 10) can signal a potential exit or further downside.
Risk Management:
Stop-Loss: Below MidBB or EMA 50.
Take-Profit: At key resistance levels or based on a risk-to-reward ratio.
Implementation Summary.
Buy Entry:
EMA 50 crosses above EMA 200.
Price pulls back to MidBB or EMA 50.
WMA 10 crosses above MidBB.
EMA 5 crosses above WMA 10 for confirmation.
Sell Exit:
EMA 50 crosses below EMA 200.
Price closes below WMA 10 and MidBB.
EMA 5 crosses below WMA 10 for confirmation.
Incorporating EMA 5 adds a faster-moving element to your strategy, helping you to react more quickly to short-term changes and providing additional confirmation signals.
How to use Moving Averages like a proIn this video I describe how I use Moving Averages to trade and to stay in sync with the market. Popular Moving averages include the 9, 21, 50, or 200. Feel free to use Simple Moving averages or Exponential moving averages, both works fine, and I like to use the EMAs because they are a little quicker to respond to price movement. I also go over a trading strategy for going long or short in the market once the 50 EMA starts to change directions, I will take a position in that direction. So, if the 50 EMA goes down for a long time, I will take a long once it starts to point up. Thank you for watching!
Double EMA Strategy...For Beginners Hey Rich Friends,
Happy Monday! It's a new week which means many new opportunities to get into the market...but it doesn't mean that you have to take all of them.
Make sure you focus on finding the best setups by sticking to your plan and following your confirmation checklist. The best out of 25 will give you a good idea of your win/loss ratio.
If you are still struggling to find a SIMPLE strategy that works for you, try using this Double EMA strategy that I apply to my trades. Let me know what you think and if it works for you!
Today we will cover:
1. How to use EMAs on Tradingview
2. Double EMA Strategy
3. Feel confident taking a buy or sell in Forex trades
4. Trade with the trend
Peace and Profits,
Cha
Where to Put Your TP and SL | Learn in 10 MinutesHey Rich Friends,
This quick video will explain how I easily find my TP and SL for my Forex Trades. I've noticed how many new traders struggle with this, so hopefully this video will help. Here is what I do:
1 . Identify the overall trend of the market.
It is important to understand that a Selling market will look like a roller coaster going up, have more red candles and it will continue to create Lower Highs and Lower Lows. A Buying market will look like a roller coaster going down, have more green candles, and continue to create Higher Highs and Higher Lows. This is very important.
2 . Collect my confirmations for the potential trade. Here are some questions I ask myself:
- What color is the current candle?
- Are the candles above or below my EMAs?
- Have the EMAs crossed?
- Is my Momentum indicator facing up or down? Is it positive or negative?
- Is my Stochastic facing up or down? Is the Indicator's financial value above 50?
These are the answers you should get:
- Bullish/Buying: Green, Above, Up, Over, Higher, and Positive
- Bearish/Selling: Red, Below, Down, Under, Lower and Negative
3. Enter the market at Market Execution or set a Pending Order.
4. Choose my TP and SL using the Long position tool for buying and the Short position tool for selling.
Buys: Place TP above previous high and SL below the previous low
Sells: Place TP below previous low and SL above the previous high
- Peace and Profits, Cha
RSI as a Trend ToolMost people use the RSI as a momentum indicator,
trying to find Overbought/Oversold (OBOS) conditions,
and/or divergences.
However there is also a way to use it as a Trend Tool.
There is a mathematical relationship that connects the RSI and EMA's.
The formula is RSI(x) cross-over 50-line = Close cross-over EMA(2x)
i.e. RSI(14) cross-over 50 line = Close cross-over EMA(28)
This one of the properties of the RSI,
which I discovered when taking a more indept look into momentum indicators,
which ultimately led to the discovery of the MACD-v in 2014/2015
The MACD-v was then publicly disclosed in 2022,
in the form of a a paper called
"MACD-v: Volatility Normalised Momentum",
which was awarded:
It has won 2 International Awards:
1. The “Founders Award” (2022),
for advances in Active Investment Management
from the National Association of Active Investment Managars (NAAIM)
2. The “Charles H. Dow Award” (2022)
for outstanding research in Technical Analysis,
from the Chartered Market Technicians Association (CMTA)
Are Indicator Templates The Best Kept Secret on Tradingview?Hey Rich Friends,
One of the greatest features that I have ever stumbled upon on Tradingview was the "Indicator Templates." If you are new to trading and need a simple strategy you can build upon, why not try one that is already built into your chart?
In this quick video, I will explain:
1. How to access Indicator Templates
2. 3 simple trading strategies (Bill Williams' 3 Lines, MA Exp Ribbon, and Displaced EMA)
3. Saving your own strategy
4. Trigger Words:
BUY (up, above, higher, over, positive)
SELL (down, below, lower, under, negative)
- Peace and Profits, Cha
The Best Forex Strategy I've Used in 3 Years | 4 IndicatorsHey Rich Friends,
Here is my trading strategy in black and white. Nothing more, nothing less. Stop overthinking. Stop overtrading. Stop overleveraging. Focus on finding great setups that meet all confirmations and let the market do the rest.
Indicators:
50 EMA (blue)
200 EMA (purple)
Momentum (turn on price line)
Stochastic (turn on price line)
Bullish confirmations (Up, Above, Over, Higher):
1. Candles above/crossing up 1 or both EMAS
2. MOM is facing up AND/OR above 0.
3. Stoch is facing up. Stoch is above 50. The blue line is above the orange line. Must have all 3 or wait
Bearish confirmations (Down, Below, Under, Lower):
1. Candles below/crossing down 1 or both EMAS
2. MOM is facing down AND/OR below the dotted 0 line.
3. Stoch is facing down. Stoch is below the dotted 50. The blue line is below the orange line. Must have all 3 or wait.
Introducing the Bars Since EMA Touch IndicatorHey there traders, Stock Justice here! Are you ready to elevate your trading game? Today, we're going to delve into an exciting indicator I call 'Bars since EMA touch', or 'BSET' for short. Buckle up, because we're about to kick your technical analysis up a notch!
The BSET, at its heart, revolves around the Exponential Moving Average, or EMA. When setting up BSET, you'll be prompted for the length of the EMA, with the default being 9. This number represents the number of bars that will be averaged to create your EMA line. A higher value smooths out the line, reducing noise but potentially delaying important signals. A lower value makes the EMA more responsive, but at the risk of responding to market noise.
BSET calculates how many bars it's been since the price last touched the EMA. A positive number indicates the number of bars since the price was last above the EMA, and a negative number shows how long it's been since the price was below the EMA.
BSET also uses the MACD and signal line to color-code these bars. Blue and red bars indicate price is above the EMA, with blue signaling an upward trend and red signaling a possible downturn if the bar number is above 3. White and green bars indicate price is below the EMA, with white signaling a downward trend and green indicating a possible upturn if the bar number is above 3.
This color-coding can be a useful tool to quickly determine whether a potential reversal is in the making or if the current trend is likely to continue. But that's not all! BSET takes it a step further by keeping track of how often price trends extend beyond certain thresholds, updating these thresholds if necessary.
These thresholds, shown as red and green lines on the histogram, indicate the 15% percentile for bull and bear trends, respectively. If more than 20% of trends exceed the current threshold, it's adjusted upwards. This gives you a historical context for how long trends usually last and can help you spot when a trend is overextended and might be due for a reversal.
BSET is an innovative tool that combines trend tracking with volatility in a unique way, helping you better understand market dynamics and make informed trading decisions. Just remember, every indicator, BSET included, is just a tool. Always use them in conjunction with other analysis methods and never risk more than you're willing to lose.
That's it for now, traders. Keep your eyes on the charts and remember: Trade safe, trade smart! This is Stock Justice, signing off!
Introducing the Trendicator (by Stock Justice)In this comprehensive tutorial, we dive deep into the world of the Trendicator, a powerful and innovative trading tool made by @StockJustice that enables traders to identify trends, spot reversals, detect bullish and bearish divergences, and perform multi-timeframe analysis. We delve into the inner workings of this never-before-seen indicator, demystifying its complex algorithms and showing you how to harness its full potential. From understanding the unique features of the Trendicator such as its compression stages, divergences, and MACD crossovers, to learning how to pair it with a Displaced Aggregated Moving Average (DACD) for enhanced precision, we cover it all in a fun and engaging manner.
The tutorial is not just about explaining the Trendicator's functionalities, but it also provides practical tips and strategies for using it in real-world trading scenarios. We discuss how the Trendicator can help traders spot the onset of a trend, gauge its strength, and pinpoint potential reversal points. Additionally, we explain how traders can utilize the bullish and bearish divergences identified by the Trendicator to anticipate market turns and make informed trading decisions.
Lastly, we emphasize the importance of multi-timeframe analysis in trading and demonstrate how the Trendicator can facilitate this process. By interpreting the Trendicator's signals across different timeframes, traders can gain a more comprehensive view of the market and make more accurate predictions. This tutorial is a must-watch for any trader aspiring to level up their technical analysis skills and trade more confidently and effectively. So, get ready to embark on an exciting journey of learning and discovery with the Trendicator!
Introducing Dynamic Action Convergence Divergence (DACD)Hello, it's Stock Justice here! In our latest video, we explore the intricate workings of the Dynamic Action Convergence Divergence (DACD) - a tool that synergizes the robustness of the ADX and the DI lines to create a dynamic and responsive trading indicator.
We plunge into the depths of DACD, starting with the base components - the Average Directional Index (ADX) and the Directional Movement System (DI). We then demonstrate how these two indicators are harmoniously fused together to form a comprehensive tool capable of signaling market momentum and potential trend reversals.
We further elucidate how the DACD uses moving averages to mark potential bullish or bearish trends, and how divergence within the DACD can indicate trend continuations or reversals. The video also highlights the DACD's proficiency in multi-timeframe analysis, enabling traders to view market trends from a broader perspective.
Closing out, we underline the DACD's versatility as a powerful trading instrument, while emphasizing the need for using it in conjunction with proper risk management and a balanced blend of other technical analysis tools. This video is an essential watch for all traders seeking to enhance their trading arsenal and navigate the market more proficiently!
Introducing the Dynamic Fusion OscillatorHello, it's Stock Justice here! In our latest video, we delve into the world of the Dynamic Fusion Oscillator (DFO) - a tool that blends the power of the Relative Strength Index and the Stochastic Oscillator. I walk you through how it works, from understanding these two base components to how we fuse them to create a balanced and sensitive tool for identifying market trends and reversals.
We dive deep into how the DFO uses moving averages to signal potential bullish or bearish trends, and how divergence within the DFO can indicate trend reversals or continuations. I also touch on the DFO's capacity for multi-timeframe analysis, giving you the bigger picture of market trends.
Wrapping up, I remind you of the DFO's value as a versatile trading tool, but also emphasize the importance of using it alongside proper risk management and other technical analysis components. All in all, this video is a must-watch for traders aiming to enrich their toolkit and navigate the market more effectively!
How to find strong Support and Resistance levels using MA.Hey Traders!
Above is a brief video in which i explain a simple way to find strong support and resistance zones using the moving average indicator starting from bigger timeframes to smaller ones.
i hope this video is useful for you!
let us know your questions in the comment section!
Joe.
“HOW TO” Video Overview “Jerry J8 Scalping Indicators"Hello Investors!!!
This is a detailed video overview of the “Jerry J8 Scalping Indicators” which can be used to scalp when the markets are up, down, or sideways.
I will post the link to the strategies after this video goes live on TradingView in either the Related Ideas, or as a comment below with the link.
Thank you.
How to be a Mean Reversion ScalperIn this video I go over how I trade with my custom mean-reversion histogram and overlay indicator, explaining the logic behind my entires and profit-taking levels. This example is taken from $SPY on the 1-minute chart, and I examine all four of the alerts that the indicator gave today. Comment below with any questions!
Heiken Ashi Algo and the Mass Effect Moving Average: Almost HereWell ladies and gentlemen I think I have created a monster and I'm really happy to call it the heiken Ashi algo and the Mass Effect moving average combination.
Don't worry I have not been leaving you hanging. It's just been very busy and I want to make sure that this thing works beautifully for you.
So what is the heiken Ashi algo oscillator?
it is an oscillator much like the original heikin-ashi RSI with a ton more features.
As you know a little while ago I came out with the CoffeeShop Crypto HARSI, Update to the original HARSI.
And as development on that oscillator continued I had to change the name to the algo because now the oscillator actually speaks to you while trading is taking place.
But as you know you should never use a single indicator by itself to enter and exit trades and understand what's happening on your chart. you should always use something as a secondary Confluence or even a tertiary confluence. Because the more confluences you have the better right?
So with that I continued development on the Mass Effect moving average and you can use them beautifully in combination.
In this video I don't want to get into the technical Aspect of all the details on how the oscillator and the moving average work but I do want to show you the parts that have been developed and what they mean.
feel free to leave your suggestions below and I will make adjustments if needed.
I'm probably going to need one more week before fully releasing both of these together and until then I'd love to communicate with you on anything to make it more fluid.
With that let's take a look at my chart and see the breakdown.
The Heiken Ashi Algo
Double Stochastic - Uses a mean regression calculation for pullback notifications but it also adds support to knowing when a trend is in full swing.
This happens when you see both stochastic ribbons touch each other while they are the same color
Green touching green is a move to the upside. It matters most When it's above or below the 50 level.
the other thing you can see here is when they touch and when they touch again as the same color is a clear sign of a Divergence.
IBXL - Inside Bar Calculation. This will be moved to the Mass Effect MA as well
Resistance / Support / are dynamic levels which change over time
Bull Key level - Are Significant price or Price action levels which almost never change over longer periods of time. when I get a key level alert I Market on my chart with a thick line and I lock it in place. These are the major areas of supply and demand Zone on your chart and you want to watch them closely when price gets near these levels
Pull Back - Helps you draw out targets to your trend lines.
Now let's talk real quick about the mass effect moving average and what it will include.
this uses a mean regression strategy so that you can swing trade- And get your confluences of when prices going to move up or down so doesn't matter if you are in an uptrend or a downtrend .
Stop lost Trend color - Is this really a stop loss line which will follow your price action and depending on its color will tell you if you should be using a stop loss of a guy or a stop loss of a sell. Obviously if it's red you should be selling and if it's green you should be buying. do not use it incorrectly. Just because it changes to Green doesn't mean you by and just because it changes to Red doesn't mean you cell. It only means you are in an area where you should be buying or selling.
The EMA's - it includes four different exponential moving averages which you can set appropriately to your style.
The VWAP - Included in this is a VWAP Moving average. Even though the VWAP is used as a moving average against the RSI in the oscillator below, I included the VWAP in the Mass Effect moving average because once you switch to a daily chart The VWAP in the oscillator disappears but you can still have it on your chart in the Mass Effect moving average. So switching to a daily chart you will still be able to see your VWAP.
The V-CROSS - This indication shows up so that you can see when the V WAP is crossing over your price level. This helps you know from point to point if you are above or below a support or resistance level and where is your price in relation to your VWAP. This will also help you notice when price is overbought or oversold.
Fractals - Show you pivot points in market structure. I use them to find exit points for trades when there is no immediate swing low or high to be seen. Usually i look further left and use one of these points to exit. But they have even more application which I'll get into in another video.
The Trend Ribbon - Is a bullish and or bearish colored ribbon to show you the trend that works in Confluence with your stop loss line which also changes from red to Green. when they are both the same color you are in a trend in that direction of up or down. The good thing about the trend ribbon is it's always seeking the same level as the VWAP and when it finally catches up to it that's when the trend usually goes flat and then reverses.