In this video, we briefly demonstrate how to identify the strength of a market trend based on assessing the direction and patterns of three different moving averages (common technical analysis indicators). This constitutes one element of our clearly defined trend qualifying rules that is part of our swing trading system. Press the “play” button to watch the short 3-minute video below (view full screen in HD mode for best quality):
Although the video explains the initial steps of identifying market trends, there are many more “trend qualifying” rules and filters used in our winning trading system. If you would like to learn more about the detailed rules of our swing trading methodology, we strongly recommend viewing our FREE “Buy Setups” video, which is 40 minutes of extremely valuable and detailed educational material for active traders. The free video can be found by jumping to our Swing Trading Course page and then clicking the link on that page that says “Class 104 – Trade Setups (when to buy).”
What do you other traders think? Do you also use multiple moving average confirmation when identifying trends?
Are you ready to seize the golden opportunity in trading? In our last analysis, we forecasted a monumental breakout in…
Embark on a journey to master the art of crypto swing trading with Deron Wagner, founder of Morpheus Trading Group.…
In the fast-paced world of trading, navigating through the noise of social media can be daunting. But fear not, for…
Feeling a bit shaken up by Bitcoin's recent turbulence? Don't worry, we've got you covered! Dive into this comprehensive guide…
Ever left mountains of potential profits on the table by exiting your winning trades too soon? Kicking yourself for missing…
In trading, timing is everything. Catching that massive breakout move that can deliver life-changing gains is the dream of every…
View Comments
I have heard of the crossovers before, but I never thought of MA's as "pointing in the same direction" as you put it, for an indicator.
Nice thought. I will have to watch these form now on, even though I am not a fan of MA's
Yes, when the 20, 50, and 200-day moving averages are all in same direction, with 20 above the 50 and 50 above the 200, it is a very quick and easy way to qualify a stock or ETF as being in a steady trend or not. Of course, crossovers are also useful for confirming trend reversals. We keep our trading strategy quite simple, and find it to be effective. Just this alone...buying only stocks that meet this moving average criteria will greatly increase your odds of a winning trade. You may want to learn more about our Buy Strategy in the FREE 40-minute video found at this link: https://www.morpheustrading.com/services/stock-trading-video-course. On that page, click on the link that says "Class 104 - Buy Setups." Let us know what you think.
Cheers,
Deron