
TREND INDICATORS
EMA Trend Indicator
Chart  13  -  Moving  averages  turn  slowly,  but  can  be  reliable  trendindicators that  accurately  show  trend.  These  indicators  will   reversedirection slowly, but using them in a pattern with mechanical entry  signalsand 38% – 62% retracements can give high probability cycle  trading  patternsignals.
      The weekly chart that follows shows two  exponential  moving  averages(EMA). When the faster (thicker) moving average is moving up and  above  theslower (thinner) moving average the trend is up, and when it  is  below  theslower moving average and moving down, the trend is down.