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Strategies & Market Trends : Momentum Daytrading - Tricks of the Trade -- Ignore unavailable to you. Want to Upgrade?


To: OpenMind who wrote (1198)6/22/1998 8:45:00 PM
From: ratan lal  Read Replies (1) | Respond to of 2120
 
That is the whole idea. The ticks set the trend whcih is reflected in the 5-min and 30-min charts. The 5-min and 30-min charts do not get violent moves like the 1-tick chart (which is very random since each trade affects it)> the effect of each tick on the 5-min chart is very samll and even smaller on the 30-min chart. It is the CUMULATIVE effect of the ticks that is reflected in the MA of the 5-min and the 30-min charts.