$ETH The daily chart moved above MA50 (2557.74), but the current price of 2554.05 has now fallen back below the moving average.
Let’s use this data to talk about moving averages.
Moving averages are calculated from past prices, so they inherently lag: the longer the period, the smoother the moving average and the slower it is to turn.
When the price moves too far from a long-term moving average, it’s often seen as having a tendency to move back toward it. But when the trend is strong, the price can stay far from the average for a long time.
Understanding indicators is easy; the hard part is sticking to your rules when emotions are running highest.
#ETH
Let’s use this data to talk about moving averages.
Moving averages are calculated from past prices, so they inherently lag: the longer the period, the smoother the moving average and the slower it is to turn.
When the price moves too far from a long-term moving average, it’s often seen as having a tendency to move back toward it. But when the trend is strong, the price can stay far from the average for a long time.
Understanding indicators is easy; the hard part is sticking to your rules when emotions are running highest.
#ETH