In general, in a trending market, moving averages are basically in a divergent state, and the short-term, medium-term, and long-term moving averages do not intertwine with each other, generally maintaining a parallel state at either an upward or downward angle. Investors typically use the 5-day moving average, 10-day moving average, and 30-day moving average in trading.
In the mid-term of a trending market, the 5-day moving average, 10-day moving average, and 30-day moving average are running upward at an angle. The price trend along the 5-day moving average is relatively strong, the trend along the 10-day moving average is the most reasonable operating mode, while the trend along the 30-day moving average is relatively weak, and there is a possibility of a trend reversal occurring soon. This state of moving averages is a typical characteristic of the mid-term of a trending market.
