2-chome Trader Motii’s Super Gatchiri FX Beginner Course | Episode 4 Learn the Moving Average

Motty-san's Profile

Hello, I’m Motty, a Gate Trader. I’m excited to continue with another FX lesson. Lately, when I look at the 1-minute charts, there seem to be many movements that are hard to read (messy movements). Are you all able to make profits? Whether you scalp or trade intraday, just watching the 1-minute or 5-minute charts too much won’t suffice. Except for geniuses, it’s important to also look at higher time frames and analyze properly. So, I’ll teach you my take and cautions on the “moving average,” which is incredibly useful for gauging the flow (trend) and momentum of higher time frames.

Blog:http://motty-fx.trader.com
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※This article is a reprint/edits of an article from FX Strategy.com, August 2018 issue. The market information in the body is not the same as the current market, so please be aware.

What Moving Averages Are

I know some of you are beginners, but you’ve at least heard of moving averages, right? If not, that’s a shortcoming. You can easily look this up on the internet.

To put it simply, a moving average is a line chart showing the “average price movement over a fixed period.” It’s one of the basic technical indicators. There are several types, with the basic “Simple Moving Average (SMA)” and the short-term trader favorite “Exponential Moving Average (EMA)” being the main ones. Look up the details yourself! Since my focus is short-term trading, I’ll explain using EMA.