Trading Process and Strategy

Identifying SMA Turn Points Ahead of Time

I was recently discussing EMA vs SMA with a trader who uses moving averages as a component of his analysis.  (Note: EMA = exponential moving average; SMA = simple moving average) Specifically, one part of his methodology requires the identification of a turn of a short-term average against the trend to indicate a weakening of…

Trading Process and Strategy

My Favorite Indicator

Here’s a recent question I received… “If you had to use one indicator, and one only, which would it be?” Simple… no thought required… Keltner Channels. Parameters set to (10,1.5) as my default, varying to (10,2) or (10,2.5) if necessary to ensure a nice snug fit around the price. You’ll find some basic info here: http://en.wikipedia.org/wiki/Keltner_channel,…