How do I read EMA signals?
We recommend leaving the standard settings. If you want, you can change the line thickness and color.
The basic principle of trading with the EMA signal detection guideline is to trade on the direction of a trend.
The optimum time to open a trade is when the asset price reverses. This is indicated by a change in the direction of the EMA line and its intersection with the chart candlestick.
A reasonable sign of a price reversal downwards is when the indicator crosses the candlestick chart and the EMA line turns downwards.
When the EMA line reverses and heads upwards, crossing the candlestick chart, it likely signals a rise.
Aroon or momentum is an oscillator. It helps determine the direction of the price and find trend reversal points.
Momentum takes the form of a line that moves and periodically crosses the 100 level.