šØ EMA 20 Crossing EMA 200 ā Powerful Trading Signal! šØ
Traders, listen up!
When the 20 EMA (Exponential Moving Average) crosses the 200 EMA, it's a major signal of a trend shift:
ā Bullish Signal (Golden Cross): When EMA 20 crosses above EMA 200 ā This suggests a possible uptrend. Traders often take this as a sign to enter buy positions.
ā Bearish Signal (Death Cross): When EMA 20 crosses below EMA 200 ā This indicates a potential downtrend. Many traders use this to consider sell positions or avoid buying.
š” How to Set This Up:
Open your chart on TradingView (or any platform you use).
Add the EMA indicator twice.
Set one EMA to 20 (short-term) ā this will react faster.
Set the other EMA to 200 (long-term) ā this shows the overall trend.
Watch for crossovers between these two lines!
šÆ Pro Tips to Edit and Improve:
š Try adjusting the EMAs to EMA 50 & EMA 200 if you want slightly smoother and more reliable signals.
ā° Use this strategy best on higher timeframes like 4H, Daily, or Weekly for stronger confirmation.
š”ļø Combine this with RSI or MACD to filter out false signals.
š« Avoid using this strategy on very low timeframes (1 min, 5 min) ā crossovers can give fake signals in choppy markets.
š Use this crossover strategy to catch big trend moves ā but always confirm with other tools and manage your risk!
Happy trading! ššŖ