T3 Moving Average Analysis & T3 Moving Average Trading Signals
T3 uses a Smoothing factor/technique to produce signals that are similar to those of the moving averages, but are more accurate than those of the Moving Average. The T3 is a modification of method used to calculate the original Moving Average and it has a smoother curve and it does not lag the market as much as the Moving Average. This Indicator follows price action and adjusts itself to the direction of the market.
Trading Analysis & Generating Signals
The T3 moving average is similar to the original MA, and it can be traded in the same way as the original Moving Average indicator.
Moving Average Stocks Crossover Signal
This Technique involves using two T3 Moving Average and generating signals when the two cross each either upward generating an upwards trend signal or cross downward generating a downward trend Signal.
Crossover Signal
Bullish Trend - Prices are bullish as long as price action remains above the indicator. When this move happens it implies that prices are bound to continue moving upwards.
Bearish Trend - Prices are bearish as long as price action remains below the T3 Average. When the price is below the indicator it implies that price is bound to continue moving downwards.
Whipsaws - This is a smoothed indicator which isn't prone to giving out whipsaws, since it's smoothed it is less responsive to price spikes, therefore a price spike will not skew the data used to calculate & draw it.