Example of buying and selling short in the direction of the GMMA Long trend
Hello!
FX Investigation, Satori here.
Today, we will deliver an example of buying and selling Short in the long-term trend direction of GMMA.
The figure below shows a recent USDJPY 1-hour GMMA sell signal example.
http://livedoor.blogimg.jp/fxmt4indicator/imgs/a/b/abce0cc3.gif
In the above figure, the price area being watched has fallen.
GMMA is an indicator using 12 EMA moving averages and is divided into Long 6 and Short 6.
Details will be covered on another occasion, but here we introduce an example of buying and selling by treating Long as the trend and Short as the opposite-turning signal (bearish-to-bullish / bullish-to-bearish).
In the above figure, when the pink long-term GMMA (Long GMMA) turns bearish and points downward, we only consider selling.
When the short-term Short GMMA turns upward, we take contrarian selling timing (pullback selling), and
When the short-term Short GMMA turns downward, we take trend-following selling timing.
Because a downtrend is emerging, but you can see that it is effective at either timing.
The figure below shows an example of a buy signal using GMMA.
http://livedoor.blogimg.jp/fxmt4indicator/imgs/0/0/001f20e5.gif
In the above figure, when the pink long-term GMMA turns bullish and points upward, we only consider buying.
When the short-term Short GMMA turns downward, we take contrarian buying timing (pullback buying),
When the short-term Short GMMA turns upward, we take trend-following buying timing.
Because an uptrend is emerging, but you can see that it is effective at either timing.
Since an indicator is displayed in a sub-window with GMMA, it is easy to read.
The indicators used today are as follows.