Trading Forex With MA:
MA indicator above to calculate the average price movement in accordance with the setting period MA. 24 period, means the use of data MA 24 candlestick as the calculation base. Likewise with MA period 12, which means that calculate the data 12 candlestick as the calculation base.
MA period 12 using the exponential calculation to obtain data more detailed price movement while MA period 24 using a simple calculation because it is used as a direction that the major price movement (trend).
How to Know Trend Up:
How to determine the direction of the price movement Bullish (Up Trend) ie If the MA 12 is above the MA 24 with no price above the MA 12 and MA24, it is assumed that prices tend to increase (trending up).
How to Know Trend Down:
How to determine the direction of the price movement Bearish (Up Trend) that if the MA 12 is below the MA 24 with the price is below the MA 12 and MA24, it is assumed that prices tend to move down (trending down).
How Trading Using MA Indicator:
Decide in advance whether the price movement is trending up or trending down to see the point above.
If trending up, wait until the price touches the MA 12 or 24 and looks to move up to open a new back transactions Buy. Stop loss or cutloss stored under MA 24. Recommended stop loss of approximately 200 pips below the MA 24.
If trending down, wait until the price touches the MA 12 or 24 and is seen moving down the back of your new open Sell transactions. Stop loss or cutloss stored under MA 24. Recommended stop loss of approximately 200 pips above the MA 24.
Take profit recommendation is 200 points or more, but not binding, is up to you.
Use simple Money Management calculations. Recommendations for beginners, use models without compounding beforehand. Pair used freely.