Technical note | $ZEC | Daily chart breaks below MA50 | MA50 1214.4
Definition: Moving averages come in two types: simple and exponential. Here, MA generally means a simple arithmetic average, with each candlestick weighted equally; EMA gives greater weight to more recent prices.
As for how to read them: the relative positions of short- and long-term moving averages are also commonly used to gauge the broader trend. A short-term moving average above a long-term one suggests strength; below it suggests weakness. However, both reflect price movements that have already occurred.
Position size should be calculated based on the stop-loss distance, which is much more reliable than placing trades by guesswork.
#ZEC
Definition: Moving averages come in two types: simple and exponential. Here, MA generally means a simple arithmetic average, with each candlestick weighted equally; EMA gives greater weight to more recent prices.
As for how to read them: the relative positions of short- and long-term moving averages are also commonly used to gauge the broader trend. A short-term moving average above a long-term one suggests strength; below it suggests weakness. However, both reflect price movements that have already occurred.
Position size should be calculated based on the stop-loss distance, which is much more reliable than placing trades by guesswork.
#ZEC