Sample trading strategy

Moving Averages Crossing

The chart shows the Single Moving Trend strategy on a daily candlestick chart of Microsoft. It uses a 5-day (red) and a 7-day (green) moving average: a buy arrow appears when the shorter average crosses above the longer one and a sell arrow when it crosses below. This is one of the basic trading strategies, often called the moving averages crossover strategy.

• Buy when the n-day moving average crosses above the m-day moving average.
• Sell when the n-day moving average crosses below the m-day moving average.

Full rules of the Single Moving Trend strategy