📅 60 DAY CRYPTO LEARNING PLAN
🔥 DAY 14 – MOVING AVERAGES (EMA / SMA)
Moving Averages are one of the most important tools in trading. They help you understand trend direction, dynamic support/resistance, and possible entry zones.
📊 What is a Moving Average?
A Moving Average (MA) smooths price data to show the overall trend instead of short-term noise.
🟢 SMA – Simple Moving Average
➡ Calculates the average price over a specific number of candles.
➡ Moves slower → More stable → Good for long-term trend view.
✅ Best For:
• Identifying overall market trend
• Strong support & resistance zones
• Swing trading
📌 Example:
• 50 SMA → Medium trend
• 200 SMA → Long-term trend
🔥 EMA – Exponential Moving Average
➡ Gives more weight to recent price data.
➡ Reacts faster to price movement.
✅ Best For:
• Entry & exit signals
• Short-term trading
• Catching early trend changes
📌 Example:
• 9 EMA → Fast signals
• 20 EMA → Short trend
• 50 EMA → Strong trend
⚔️ EMA vs SMA – Key Difference
🔹 EMA = Faster signals, more sensitive
🔹 SMA = Smoother, more reliable for big trend
🧠 Pro Trading Tips
💡 Use EMA for entries
💡 Use SMA for overall trend confirmation
💡 Combine with Volume + Support/Resistance
💡 Never trade MA signals alone
🚨 Common Mistakes
❌ Using only one MA
❌ Ignoring higher timeframe trend
❌ Entering trades in sideways market
⭐ Simple Strategy Example
Trend Trade Setup:
✅ Price above 50 MA → Look for BUY
✅ Price below 50 MA → Look for SELL
✅ EMA crossover → Entry confirmation
⚠️ Disclaimer
This content is for educational purposes only. Crypto trading involves risk. Always do your own research and use proper risk management.
