Moving Average Crude Oil Trading Strategies
- Oil Trading Price Period of Moving Average
- SMA, EMA, LWMA and SMMA
- Moving Average Oil Trading Trend Identification
- MA Whipsaws in Range Market
- Moving Average Crossover Method
- Moving Average Support and Resistance
- How to Select a Moving Average
- Short Term and Long Term Setups
- 20 Oil Trading Pips Price Range Strategy
About the Moving Average Strategy
Oil Trading Moving average is one of the most widely used Oil Indicator because it is simple and easy to use.
This Oil Technical Indicator is a oil trend following technical indicator that is used by Oil traders for three things:
- Identify the beginning of a new oil market oil trend
- Measure the sustainability of the new oil trend
- Identify the end of a oil trend and signal a reversal oil trading signal
The Oil Trading Moving Average or Oil Trading Moving Average is used to smooth out the volatility of crude oil price action. The Moving Average is an overlay crude oil technical indicator and it is placed on top or superimposed on the crude oil price chart.
On the example oil chart below the blue line represents a 15 period MA, which acts to smooth out the volatility of the crude oil price action.
Oil Trading Moving Average Technical Crude Oil Indicator - MT4 Oil Trading Technical Chart Indicators
Calculation of the Moving Average
The Oil Trading Moving Average is also known as Moving Average - is calculated as an average of crude oil price using the most recent oil price data.
If the Moving Average uses the 10 period to calculate the average of the crude oil price then it is referred to as a 10 period oil trading moving average, because most traders use the day as the standard crude oil price period we shall just refer to it as the 10 day Moving Average.
To calculate the ten day Moving Average the crude oil price of the last 10 days is averaged, the oil trading moving average indicator is then updated constantly after every new crude oil price period. So after every new crude oil price period is formed the moving average is then calculated afresh using the most recent 10 crude oil price periods, that is why it is called a moving average because the average is constantly moving when crude oil price data is updated.
