The Only Moving Average Guide You'll Ever Need
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- Опубліковано 6 лют 2025
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Most traders use moving averages too simplistically in an attempt to gain a trading edge. In this video, one of our most experienced prop traders breaks down the only moving average guide you'll ever need.
🔹 Learn why moving averages do work and how to apply them properly.
🔹 Discover the best lookback periods for different trading styles.
🔹 Understand how to use multiple time frames to measure trends effectively.
🔹 Gain insights into how professional traders integrate moving averages into their strategies.
Whether you're a scalper, momentum trader, or swing trader, this guide will help you level up your approach to trading with moving averages. Watch, take notes, and refine your strategy!
📚 Recommended Books:
📖 Secrets for Profiting in Bull and Bear Markets - Stan Weinstein amzn.to/4aF7pOn
📖 Technical Analysis Using Multiple Timeframes - Brian Shannon amzn.to/4aCkRlU
👍 Like & Subscribe for more trading insights!
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#movingaverage #movingaveragetradingstrategy #daytrading
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I have the code and the mini-LLM so you can use tesla robots to trade. Are you ready for the future?
Hi, just saw the part where you asked us to let you know if we find something that can quantify the future. Barry Burns teaches using momentum to forecast the future, comparing it to the momentum of a train. In his analogy a person who pulls the brake on a train knows the future, as the train will be slowing and losing momentum in the future.
@@brandoncrusen9160 Yes, This is major key. This play a critical role in my code. Well done friend.
Hi, thanks for sharing this wonderful videos. I have a question. How many trades one could do in operating options? Thank you again ❤❤
@@brandoncrusen9160are you saying that if you’re the one providing overwhelming liquidity in an illiquid market then you know the future?
this is the best moving average explanation I've ever seen
thanks! that was the goal for this one
This is a simple concept but golden and timeless 💯
Hey man… this 1-day EMA is pretty brilliant actually.. no matter how obvious it seems, you’re not actually seeing the close on *top* of the green and the close on the *bottom* of the red when you’re looking at the candles, no matter how familiar you are… that’s truly excellent seeing that as a line
i love it for intraday trading
this is only smart to people born before 1990
@@garrettdrinon It’s one of the smartest things I’ve ever seen, and I’ve been watching tons of tutorials on scalping, daytrading… am disinclined to use indicators unless they’re extremely useful, I occasionally look at VWAP and ATR but this is super swift, it’s not an indicator really, then, it just helps you see what’s actually going on. MUCH respect
Bro do you just put a 1 in the length inputs?
@@melvinmaatrijk5089 hehe I learned it here, but yes. these alternate between the bottom and top of candle depending on if it's red or green.. that's what's not easy to glean just looking at the candles, and why this is fucking brilliant to me, honestly.. I rewound and froze the frame and marveled at this. do it, and then look at the frame without the indicator and see if you can "see it", visualize a line from the bottoms of red candles to the tops green candles. great stuff.
this one change is perspective regarding trend analysis had made it all make sense. So much thank to the pro's for sharing how the really became pros, and not some youtuber trying to make money off the ignorance of novice traders.
Hands down the best moving averages video. Great value. 4 chart layout not used enough by retail traders. Please do a video on tier trading system. Resistance/support levels both minor and major. How wide those levels are….
thank you - and will think about that… thanks for the suggestion!
Excellent stuff Garreth, this has filled a big gap in my daily chart setup. Thanks again.
great yo hear - thanks for watching
this is brillant,,, no wonder SMB has the strongest traders.
I appreciate your simplistic approach. Another UA-cam channel seems to give too much attention to fibbonaccis, which i find too complicated.
my code does the math for the traders, there is no need for crayons on a chart lol
Love Bollinger bands. Touching a side = either a contrarian credit spread or a calendar at the ATR. Nothing like taking a high probability trade when it’s been beat up. Calendars are nice because they’re cheaper. Credit spreads have a higher theoretical probability of profit, but falling knives and short squeezes can burn you.
Can you make videos on how to determine the technical support levels of a stock? Is the use of Moving Averages how you determine them?
Thank you! Informative and intuitive!
you’re welcome!
The calculation you mentioned (24 hours * 60 minutes = 1440 minutes / 5 = 288 bars) applies if you were considering a full 24-hour period. However, in the context of stock trading, we focus on regular trading hours.
The standard stock market operates for 6.5 hours each trading day (from 9:30 AM to 4:00 PM), not the full 24 hours. Here's the breakdown:
Trading hours per day: 6.5 hours
Convert hours to minutes: 6.5 hours * 60 minutes/hour = 390 minutes
Number of 5-minute bars: 390 minutes / 5 minutes/bar = 78 bars
So, within a standard trading day of 6.5 hours, you get 78 5-minute bars. This calculation aligns with how moving averages are typically applied within regular trading hours.
The market is open until 8pm Eastern time @@NatureReals
I watch this video 3 times within a day. Thank you for this!
you are welcome
This is great! Makes perfect sense and it shows the trends much the same averages on all timeframe. Do you drill down further before taking a trade and, if so, do you use the 9 EMA and VWAP on intraday charts? Or, do you just look at higher lows, etc? Thank you!
drill down to price action and the tape, and i do look at intraday VWAP
Thank you. Highly informative. Can you do more videos like this where you share a) how you look at charts and your workflows b) psychology of why do what you do. When you share why you do it, it makes so much sense. It is far better than when someone just explains "SMA is blah blah", which means nothing. chatgpt can help with that.
thank for the feedback… will try to do more of that
Great video, thanks Garrett!
you’re welcome !
Great lesson! Thank you!!!
you’re welcome!
Interesting video, just a little FYI, if you take an EMA for the month and an EMA for two months. So a 21 and a 42 respectively. It is the exact same as a EMA of 21 and Wilders 21. So Wilders MA = EMA with length * 2. Go see for yourself. Brian Shannons book, 100% worth the money
you’re right! i did realize this at some point but pushed it out of my brain cause i’ve using the wilders for so long. agree, Brian is the best.
Interesting... here is one I've never seen public in my 38 yrs trading related to wilders rsi[14]. Common to use rsi =50 as the divider of bull and bear movement. So happens if you plot an ema 28 on any timeframe, when close is on 28 ema, wilders rsi[14] will equal 50. So plot a 28 ema on price and use it along with its angle as support/resistance. Try it and see. I also follow Brian S as well.
This firm does not want you to win, they want your money. They refuse to use AI code. They dwell in the 80s lol
What is the book title? I've been looking for books to read for forex trading. Would appreciate it!
@@cpntexas_x That's cool! Very Interesting
what a great video, I really needed this, it gave me such clarification on moving average.... Thank you
glad to hear! you’re welcome
Yo Garret, if you reduce group delay to be negative then you have an indicator that is future looking so all you have to do is use indicators with group delay in the future to find indicators that look in the future. Inversely to MA which smooth, an indicator with negative group delay which is future looking will have exacerbated levels of noise but will be forward looking. yes they exist! Ehlers published a paper called "a peek into the future" which describes the voss predictive filter. I spent like a year building strategies to harness it lol. Feel free to reach if you want me to explain what I found. You're my fav thanks for what you do.
Some platforms like trading view let you pick the source of the MA (to daily, chart, weekly, 65min, etc…) so you’ll always have the same MA even if you change the timeframe.
How I want to understand this better... does he input 130 or 1?
Partially true, not completely though. Tradingview only allows the multi time frame option on EMAs, not SMAs
@@brcam2013 on any MA.. just double click it and in Calculation chose the timeframe you want
This was a wonderful guide and incredibly helpful to me.... thank you again SMB!
of course!
prop trading firm telling retail trader a stratagy its very shocking they also want we became profitable thnx prop man☺
Thanks for the detailed descriptions of different MAs and lookback periods. My system uses EMA12 exclusively for defining established trends on multiple timeframes. So the look back period is consistent but the timeframe is not. I search for which TF is trending based on price action trends and which is riding EMA12. In any strong move there is generally a nested trend (EMA12 rider) so the process is to identify potential moves on any TF (the opportunity) and then let nested price action trends and EMA12 affirm it (the setup)
@@Yogi-trader don't you run into higher TF resistance frequently with this approach? Or, do you only look to play the 2nd leg and hold a piece for possibly more?
I will forever be indebted to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Katherine Stewart.
Wow. I'm a bit perplexed seeing her been mentioned here also Didn’t know she has been good to so many people too this is wonderful, I'm in my fifth trade with her and it has been super.
She is my family's personal Broker and also a personal Broker to many families in the United states, she is a licensed broker and a FINRA AGENT in the United States.
You trade with Katherine Stewart too? Wow that woman has been a blessing to me and my family.
I'm new at this, please how can I reach her?
I was skeptical at first till I decided to try. Its huge returns is awesome. I can't say much.
Thank you for sharing this information. Great video
That was a great video.
Informative but without the usual patronising tone that SMB videos have. I was even able to get to the end for once! 😀
I'd welcome more like this in content and delivery style.
Just saying.
Thanks 👍
1) what is the trend of the overall market
2) what is the trend of the stock that I'm looking at
Basically....
Thank you so much for this insight 😊
you’re welcome
Informative video 😊
glad you liked it
@ I always watch your videos and get to learn a lot but as a trader I am still struggling.
thanks, one more great learning.
you are welcome
Great vid thanks!
you’re welcome!
Fantastic, thank you very much Sir for this enlightenment
you are welcome
This was a really good video, thanks!
you’re welcome !
Thanks for the video
you are welcome
Sir i liked the way you explained.... You told about 52 ema and 52 wilder MA... I use 52 ema and 100 ema .... 52 wilder ma and 100 Ema is same....
Thank you very much
you are welcome
I lost over $80k when everything started to tank. Not because I was in an exchange that went belly up. I was just stupid to hold and because that's what everyone said. I'm still responsible. It just taught me to be a better investor now that I understand more of what could go wrong. It took me over two years of being in the market, I'm really grateful I found one source to recover my money, at least $10k profits weekly. Thanks Veronica Hoy
I'm surprised that this name is being mentioned here, I stumbled upon one of her clients testimonies on CNBC news last week
Veronica Hoy strategy has normalised winning trades for me also and it's a huge milestone for me looking back to how it all started
Really you people know her? I was even thinking that I'm the only one she has helped walk through the fears and falls of trading
As a beginner what do I need to do? How can I invest, on which platform? If you know any please share.
OMG is this same person that helped me
Invested $2000 and after a week we received $7,500. That really helped us a lot to pay our bills.
wow such a small world
Well said … i hope ppl understand this
Excellent video! I had never seen a YT video that talked about moving averages this way. Now they make more sense to me! So much learning in such a short time! And you know, I was hesitant to watch the video! Thanks!
Add in BBs and learn the tails & hammer candles in inconjunction with candle sizing and you have something 😎💸
Can you please share that layout setup? Or please make a video on setting customized time frame in TOS
This was a good video!
even great
My suggestion for Garett model: add a count of the number of days above a moving average to quantity the trend aging and rank trends, there is value in this data point.
Gold video ❤❤❤
thanks for watching ❤
@@garrettdrinon learnt a new perspective from you. Thanks a lot 🙏
20 EMA on 1min is excellent for qualifying gaps to enter
interesting
I appreciate this video and the conceptual discussion of moving averages across time frames. Picture in Picture, if you will. Hurst Cycle analysis is corollary to your approach, possibly foundational. SMB is a fantastic resource! I found the following book to be well worth reading. "Mastering Hurst Cycle Analysis" by Christoper Grafton.
What are the best technical indicators for Gold? What technical indicators do Gold prices respect?
Same.
Thanks for the clip guys. Imo, if something is not broken don't try to fix it or re-design it.
On Think or Swim I found accurate to set the daily 5ema and 21ema on 15 minutes using 134ema (5ema daily) and 532ema (21ema daily). For 65 minutes I used 32ema (5ema daily) and 125ema (21ema daily). Just to make sure, those ones that I found interesting for myself and either the ones he is talking will just be accurate on 15 and 65 minutes if there is no extended hours sat for your charting otherwise the EMAs will consider the extended hours as part of your data analysis.
yes extended hours will change things
Tailwind is a key word for Moving Averages
35:55 unfortunately there is no link to the mentioned video. Is it possible to have it?
Interesting
Your footprints seen in snow or mud lags, tire tracks lag, but looking at them can tell me your direction.
Great info and helpful. A dilemma i see the daily moving avg take in the closing price only while Lower time frame avg all price points within their period so wouldn’t the price/data differ
yes it’s not going to be exactly the same (more granular calculation on the lower timeframe) but close enough (very close) and to be exact is not the intention, it’s the concept - since aren’t precise price levels that we’re trading against
@@garrettdrinon the concept is great thank you. Just to clarify 15 min 260 avg represents approx of daily 10 avg?
Nvda daily 10 was 133$ while 15 min 260 avg was 124$. It is a 9 difference. Would marking daily 10 lvl on 15 min and visualizing it as an avg, make it more simple and work the same way?
i am lost. I need to go back to basics.
God bless Elvin Greg for explaining the strategy behind the markets for me.
He is currently teaching newbies how to trade.
I really enjoyed learning about the different types of exchange rates and how you can make and lose money so fast with constantly changing exchange rates.
I also didn't know how important the US Dollar was to the rest of the world. I thought it was very interesting that most currency transactions involve the US Dollar.
Please how can I reach him and learn the strategy? I've been looking for a good guide
Wire messenger only for newbies
$NVDA $AMD $AVGO 3/21 Ops!!! Calls
does all of this works in the same way on forex also?
When you say, the entire market, do you mean SPY or do you mean sectors like the MAG 7
SPY or QQQ or NYSE exchange or NASD exchange or all of the above - whatever is relevant to the stocks you’re trading, could be IWM or MAG7 - i mainly watch SPY and QQQ
28:39 wider 52 weeks to weekly frame
Thanks, and I like the guy who looks and talks like Garth.
you’re welcome, and that’s a new one
@garrettdrinon Party on!
Wondering by not 20 day, 5 days a week 4 weeks, please advise
if you look at the average number of business days in a month in actually comes to 21, but it does not make much of a difference - 20 works as well
Isn't that like the Ripster MA ?
give me a jobbb!!!
hired!
Which trading platform do you use?
Thanks I trade Forex you recommend Oanda? I’m in U.S.
Should I include premarket and aftermarket hours when using this method？
i don’t, but you could, and you could change the lookback to account for those bars, especially if trading futures
there is no option to set chart 65 minute a bar , is there any alternative on this?
what are your options?
@garrettdrinon 1.5.15. 30.45.60. 120 classic ones 4 hr etc... im trading on ctrader terminal
personally with those limited choices i would go with the 30 minute chart
@@garrettdrinon thank u sir . I`ll do the math
What do mean 60min doesnt divide imto a day. There is 16hr in a trading day. 1hr divide into 16hr 16times....
i’m referring to regular trading hours 9:30-4 eastern time… if you have afterhours data open or futures it will be different
For the next 4 years, follow these 3 MA(s) and you'll be just fine. 1) White House Press Secretary's meetings 2) Trump's press conferences 3) The Fed. That's all you need. Shortly, instead of having CNBC on the background, have Fox and CNN 😂. As an example, Friday around 1:00 pm was a Gold moment for the Traders. Happy Trading!
VWAP is king
we love VWAP
How do you use the Vwap?
Can I apply the same to the FUTURES market, by calculating every moving time cycle instead of 6.5-hour day, 23-hour day ??
absolutely
I don't understand why you switched from 1w time frame with a 15 minutes chart to 1w 5-minute chart with Tesla stock example ( minute 20 of the video) ?
So this works with EMA or SMA, there is no diffrence ?
they are different but either one works - it comes down to personal preference - there are much more important decisions to make in trading IMO
Totally amazing, I'm working on a cross over strategy and I'm new. Love you guys.
I honestly find macd and the achored vwap to be the best strategy. I can't trade with the 10, 50, or 200 moving adversge
Honestly I don’t get the Vwap at all lol, is almost flat.
78 (5 minutes bars) in a day = 390 minutes
390 minutes / 60 minutes( 1hr) = 6.5 hrs trading day?
Futures you have 1,380 (1 minute bars)
1,380 / 15 = 92
92 * 5 = 460
You set your moving average to 460 to get the 5 day moving average in the 15 minute chart.
yes, adjust it to futures or however long your day is
Price frames. Not time frames.
Time is poison and is the arch-enemy of Price..
It distorts clear trend/countertrend inception/reversal inflection points and continuation momentum.
Eliminate time - eliminate noise.
Trash crayon spaghetti and modern [ch]art - price bricks alone and MPF (multi price frame) analysis is all that's required.
Simplexify - do not complificate.
Trend follow - react, not predict.
What's a price frame?
@Thundercats125 # of bars per price distance move, not time period
@@gn6905ever track divergence between price and time charts?
@qux55 divergence as in HH/HL LH/LL?
21 is also a Fibonacci number
If only 1% of retail traders make it…..what am I doing here?
I honestly feel the same way. Been "trading" 7 years now, and it just feels like profitability is a hair out of reach. I know a big part of it for me is mental game and my own laziness, but when you hear stats like this, it makes things seem kinda hopeless. I mean, Mike even admitted in the video that only 20-40% of the traders they train don't achieve profitability. Maybe I just buy QQQM and hold until I decide I don't wanna work anymore. But damn, dreams dashed against the rocks...
Trynna make it like the rest of us
Anybody use the 5MA?
4:06 🙀
Log live into your brokerage account and showing us your yearly returns !
🖤🖤🖤🖤
Nice! You just knocked off Brian Shannon from over a decade ago. If you, sir, are one of the "most experienced prop traders on the desk" it's time to re-boot. Just saying SMB with all do respect. Or not
we’re trying to trade well not create original art work - you should go and actually watch the video and you’ll see we reference his book
Too confusing.. too much hapennjng... can you stick to one concept, and practically shoe how you use it while entering and exiting a trade
Thanks for the insights! Just a quick question: I have a safepal wallet with USDT, and I have the 12word phrase: ( tag suit turtle raccoon orange fever main skull special hungry crystal mixture ). How can I send it to Binance?
So these mofos took my money.....
Hahaha ..Why should traders trust brokers Tips ??
18:00 There are 288 M5 bars in a trading day, for CFDs.
Really informative. Thank you!
you are welcome
Which trading platform do you use?
Thanks I trade Forex you recommend Oanda? I’m in U.S.
i use TOS for charting
@@garrettdrinon What about for execution
Does it have those number charts to the side too ? Is that what most pros use?
@@garrettdrinon this can be used for forex too?