%% YES; occasional countertrend+ trend PSAR[parabolic stop + reverse] can help; mine lags a bit too much for some
No. A 1 period MA is ... a 1 period MA. Not fractal, not Speed of Light, not fast CPU lol. MA (1) is price gosh darnit!!!!!!! That is all. But you can call it Math if you prefer.
SMA is for simple folk with simple thinking. MA's in whatever form: Simple Moving Average Indicator- (SMA) Exponential Moving Average Indicator (EMA)– ... Weighted Moving Average Indicator (WMA)– ... Double Exponential Moving Average Indicator (DEMA)- ... The Triple Exponential Moving Average Indicator (TEMA)– Moving Average Convergence Divergence (MACD) Then there's Guppy MMA.... have been around forever and thrashed to death in discussions. MA's are ok for a rough guide and you can use them in other simple applications, eg speed, direction, volatility. Due to lagging effect MA's get you in and out late. Remember, for example a 20 day moving average is where price was 10 days ago roughly speaking. Some say a 50 and 200 day MA is good for entry and exit signals. (Crossover). These type indicators are not reliable, full stop and when they do work it's largely by coincidence.
It's funny how so seemingly basic principles elude so many individuals who, in aggregate, wager hundreds of thousands, and as larger group, millions, every single day. No wonder, that some of the operators that partake in this market made such vast fortunes. Someone has to pay for all that wealth accumulated in such few hands.
No, for a fractal process to occur you need repetition of patterns, over and over. The FMH goes trough that and it has been proven, many times, that financial markets are not fractal. Read until the end. We as human beings tend to model behaviours and occurrences in a way that we can understand, following some kind of pattern, but to do that we modify the time frame of the dataset, just to prove our hypothesis. In the way that if you don't find a fractal pattern on the 1 min frame, you would zoom out until you find one that seems to be repeating, but that is just a great example of confirmation bias. The very same way Technical Analysis has created around the world many acolytes that use it like a religion. People love to follow patterns, even when they don't mean anything. Markets should be random, and if they follow a pattern is because they are manipulated by the market participants.