The efficiency of the price movement in the market is the real standard of whether the Adaptive Moving Average AMA will react quickly or slowly to a trading signal. However, trading with AMA has always been basic, you just buy when the AMA is up and sell when it is down. FORMULA AMA = AMA (1) + ? * (Close – AMA (1)) a = [(VI * (FC – SC)) + SC] ² VI = volatility (user’s input). SC = 2 / (SN + 1) FC = 2 / (FN + 1) FN = Slow moving average < SN Adaptive… Continue reading
Moving Averages Guide and Indicators
Moving Averages – It is really significant that while measuring a trend of the market, we need a tool called moving averages in order to analyze its direction and momentum…. Continue reading
