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The earliest price values are never discarded, but receive a lower weighting, and possess a smaller role in determining the tradin of the indicator. that made me smile. For example, when a short-term average crosses BELOW a long-term one, a SELL signal is generated. I write them for long-term investors in physical metals.
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But this ovepensation is very handy because it offsets the lagging effect of the nested averaging. Examine your trades and the risk reward you use.
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