High Profits Advanced Forex Smoothed Moving Average (SMMA ) Trading System – A Smoothed Moving Average is sort of a blend between a Simple Moving Average and an Exponential Moving Average, only with a longer period applied (approximately, half the EMA period: e.g. a 20-period SMMA is almost equal to a 40-period EMA).
The SMMA gives recent prices an equal weighting to historic prices. The calculation takes all available data series into account rather than referring to a fixed period. This is achieved by subtracting the prior periods SMMA from the current periods price. Adding this result to yesterday’s Smoothed Moving Average gives today’s Moving Average.
- Long Entry: When Ema 11 Cross up WMA 21 and Indicators are blue.
- Short Entry: When Ema 11 Cross down WMA 21 and Indicators are red.
- Exit Position: When 2 indicators reversal position.
- Stop Loss: Place Stop loss at the Higher or lower of the entry bar.