Data:2009-12-12 2:34
Category: Money Tips Date: 2007-03-29
20 day MA is the largest short-term moving average parameters of the system as a moving average line, compared with 10-day moving average, 20-day moving average than it was 10-day moving average of time intervals, but also more than 10 trading days, so the operation of the 20 day MA changes in frequency than 10-day moving average, its focus on the extent of change in trend is much greater.
20 day MA in actual application should pay attention to the following conditions:
First, 20-day moving average selected cycle parameters due to relatively larger, so the scope notwithstanding the short-term moving average, but has begun to close mid-term moving average, so in actual combat, use the 20 day MA analyzing market trends should be considered Short-term trends, not only consider short-term changes, otherwise there will be operational mistakes.
Second, 20-day moving average trend of judgments on behalf of short-term trend is still rising upward and downward, said the trend downward, so use 20-day moving average to analyze trends, you can also use it to determine the market position of support or pressure, At the same time must be concerned about the 20 day MA as support or pressure the effectiveness of, or they will cause an error of stop-loss.
Third, 20-day moving average in the Quotes box will be relatively stable during the operation, that is, if the fluctuation Quotes modest, 20-day moving average may occur close to the parallel state of operation.
