The Hard Truth About Moving Averages: Ditch Them Now

Moving averages are a trap for unwary traders. This indicator is nothing more than a delayed and watered-down version of market reality. If you rely on them, you are trading blindly, following signals that arrive late and often lead to disaster.

1. Lagging Indicator: Moving averages always keep you one step behind. In a fast-moving market, this is a death sentence.

2. False and Late Signals: Moving average crossovers fool you. By the time they finally give you a signal, the move has already happened or is about to reverse.

3. Detached from Reality: Moving averages hide the truth. They smooth out moves so much that they disconnect you from what is really happening in the market.

4. False Security: Believing that moving averages act as support or resistance is a dangerous fantasy. In a range-bound market, you're going to get crushed.

5. Fatal Distraction: Using moving averages distracts you from what's important: price action and market structure. They make you a slave to an indicator that doesn't understand what's really going on.

Bottom Line: Moving averages are a relic that only serves to make you lose money. Ditch them, focus on what really matters, and you'll see your trading improve. It's time to cut your losses and trade with clarity.