Trends And Moving Averages by Robert Nikifork
ARTICLE SYNOPSIS ...How do you choose which length and type of moving average to use for chart analysis? Take a look.
One commonly used technical
indicator is the moving average
(MA), which is plotted as a line
connecting the average of closing
prices over a lookback period.
Moving averages may be
used as trend indicators and to
identify support and resistance
levels and breakouts. The major
complaint concerning moving
averages is that they lag
changes in the trend and thus
lead to late signals.
Because of that flaw and their widespread use, many
articles have been written about moving averages. In most of