Moving average is the basic technical indicator in Forex trading, the formula used in many new forex custom indicators. In other words, Moving average indicator is the mother for many forex custom indicators trading. The best moving average indicator are 50 days moving average and 200 days moving average.
50 Days moving average indicator is very popular trading tool among trend traders. They use this moving average indicator to determine the direction of the market trend. Usually trend traders combine 50 days moving average with 200 Days moving average. Moving average indicators usually give an accurate calculation and determine areas of bullish or bearish trend. 50 days moving average indicator used by many experienced traders in their trading system.
As you know the most important thing in moving average usage is the settings. Experienced Forex traders tested the moving average indicator and they found the good and optimal setting for moving average are 50 days moving average and 200 moving average indicator.
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