Traders Laboratory - View Single Post - Moving Averages: Which one should I use?
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Old 08-27-2006, 07:32 AM
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I don't use any moving averages for my intraday charts. I trade using a 233 tick chart mainly. However, for my daily charts I use a 9, 21, 50, 100, and 200 moving average. I dont necessarily play the crosses but use them to find cluster zones that act as support and resistance. Every trader has their own way of using moving averages.

Another commong moving average for short term trading is the 8-period moving average. This is not my choice but here's a rule one trader told me a while back:

"If price is above the 8-period moving average, trade from the long side and not from the short side. If price is below the 8-period moving average, trade from the short side and not from the long side."

Simple trading tactic based on going with the trend. Hope this helps.

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