McGinley Dynamic CFD Technical Analysis & McGinley Dynamic CFD Signals

Developed by John McGinley

McGinley Dynamic aims to overcome the lag of the traditional simple & exponential moving averages, the indicator automatically adjusting itself relative to the speed of the cfds market. Thus its name, dynamic.

The indicator follows cfds price movements closely in both a fast and a slow moving cfds trading market.

CFDs Technical Analysis and Generating CFDs Signals

This cfd technical indicator is better at avoiding whipsaws compared to the original moving average.

Calculated using the formula:

Dynamic = D1 + (CFD Price - D1) / (N * (CFD Price/D1)^4)

D1 = previous value of Dynamic technical indicator

N = smoothing factor (of cfds price periods)

^ = Power of

Bullish, Buy CFD Signals and Bearish, Sell CFD Signals

McGinley Dynamic should be combined with moving averages to form a cfds system. McGinley Dynamic should be used as the smoothing mechanisms where the moving average is choppy or ranging.

• Bullish, Buy CFD Signal - A buy cfd signal is generated when cfds price crosses above the indicator.
• Bearish, Sell CFD Signal - A sell cfd signal is generated when cfds price crosses below the indicator.

Technical Analysis in CFD Trading