mihakralj

mihakralj

▶️ Introduction Hull’s Moving Average (HMA) is beloved because it offers near–zero‑lag turns while staying remarkably smooth. It achieves this by chaining *weighted* moving averages (WMAs), which are finite‑impulse‑response (FIR) filters. Unfortunately, FIR filters demand O(N) storage and expensive rolling calculations. The goal of the Hull‑style...

mihakralj

Many new traders adopt the Exponential Moving Average (EMA) believing it's simply a "better Simple Moving Average (SMA)". This common misconception leads to fundamental misunderstandings about how EMA works and when to use it. EMA and SMA differ at their core. SMA use a window of finite number of data points, giving equal weight to each data point in the...

mihakralj

Four Core Qualities of Superior Moving Average Accuracy (preserving large-scale structure): Moving average should maintain the important underlying structure of price movements (like major trends and cycles) while filtering out all smaller fluctuations; it should faithfully represent the true price trajectory over longer timeframes. Timeliness (minimal lag):...