Using a 30 Minute-10 day chart?

Discussion in 'Technical Analysis' started by oldman73, Jun 19, 2007.

  1. oldman73


    If I view a stock on a 10 day 30 or 60 minute chart and add a simple moving average of 20, is that still a 20 day moving average? Are indicators like RSI 14, ADX 14 etc still daily moving averages?
  2. Period... Whether daily, hourly, minute, etc.. it is a 20 Period Moving average...
  3. ================
    Yes,20 period on 60 minute candles;
    & you had to start with a 20 day chart to get 2o day moving average,50 day chart to get a 50dma.

    I lkie the question someone asked about an ipo,when can i use a 50dma on it;
    the answer-it takes at least 50 days:cool:
  4. oldman73


    If I want to use a 10 day chart with either 30 0r 60 minutes, I could use a 10 day ma but to see the same 20 day that I see on a daily 3 0r 6 month chart or longer, I cannot do that on a 10 day chart,correct?
  5. I'm just restating above, and adding a bit.

    Moving averages and indicators are based on the time frame of the bars on your chart, not the length of the chart. The time frame of the bars on your chart is known as the period. On a daily chart, ie., each bar represents a day, the 20ma is a 20 day ma.

    So if you have 10 days of data using 30-minute bars or periods, the 20 ma represents the last 20 30minute bars. If you have a 20 day chart of 30-minute bars, the 20ma still represents the last 20 bars.

    Charting packages have historical loaded even though it might not be on your screen. You might have 20 days of 30 minute data on your screen, but the package has many more days in your memory. Because of this, you can change from a 10 to a 20 to a 200 period moving average even though you might only have 20 days of 30-minute data showing.
  6. oldman73


    this may be a stupid question, but why use a 30 minute, 60 minute, or any minute chart vs a daily chart? There is obviously and advantage but what is it and the best indicators to use.
  7. hcour

    hcour Guest

    If you have a 60-min chart open, to create a 20-day ma you'd set it at 480-periods. 20 days x 24 hrs per day = 480.

  8. As you learn and grow youll realize looking at your data from varying views will give you specific perspectives..... Its hard to trade intraday looking at a daily chart, as you dont "see" visually the price movement patterns. Though there are those who can just look at the numbers and trade like maniacs... Of that school I am not. I trade best with 5 minute and 20 minute charts....
  9. Harold you raise an interesting point, and for the sake of debate I disagree with it. I don't have any of my charts set for 24 hours. I rarely daytrade anymore, which is one reason, but I do watch intraday movement. The other is that the after hours and before hours volume is usually so light as to render the price movement insignificant, imo. My philosophy is I want to ride the changes made by bigger volume and bigger money.
  10. hcour

    hcour Guest

    Yeah, I trade FX, so I tend to think in terms of 24-hr trading days.

    #10     Jun 20, 2007