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Exponential Moving Average (EMA)
Weighted average that reacts faster to recent price changes.
Beginner-friendly explanation
EMA is a line that follows price, giving more weight to recent moves.
Example:
If price crosses above the EMA, it may suggest a bullish trend.
Intermediate-level insight
EMA smooths price and quickly detects trend changes. It’s more responsive than a standard SMA.
Example:
An EMA 9 > EMA 21 crossover is often used as a buy signal.
Advanced perspective
EMAs are used in advanced strategies like dynamic crossover systems, breakout signals, or multi-timeframe setups.
Example:
A pullback to the 1h EMA 50 within a bullish daily trend can be an ideal entry point.
Technical & Chart Analysis
ema, exponential moving average, crossover, trend, reactivity, dynamic support
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