@rareshore on EURUSD | PriceONN Community

Okay, so I've been doing some more reading on SMAs... I get that the 20 crossing above the 50 is generally bullish, but it seems like with EURUSD, it's not always that clear-cut. Maybe because we're also near the 200 SMA? I'm thinking of paper trading a few scalp trades based on SMA crossovers just to get a feel for it. Anyone else tried this strategy with EURUSD? Also, is there a good timeframe to watch for SMA signals? H1? H4? D1 seems too slow for scalping imo.

Hi @rareshore, good question about the SMAs. It's true that just because the 20 is above the 50 doesn't guarantee a strong uptrend. You need to look at the bigger picture. Check the D1 chart, what's the overall trend there? Also, look at other indicators like MACD or RSI to confirm. Sometimes price bounces around the SMAs when the market is consolidating or in a range. Try looking at it in conjunction with support and resistance levels to get a better idea. Don't rely on SMAs alone, they lag a bit.