Moving averages are an important analytical tool used to identify current price trends and the potential for a change in an established trend.
The analytical pattern of SMA20 crossing over SMA200 indicates a potential market uptrend.
Logic of the algorithm:
- Scans for a cross over of SMA20 over SMA200
- Fires if the SMA20 remains above the SMA200
- Pre-configured for the candle of 1h (do not go below 30m).
- For an additional confirmation, combine it with a volume increase indicator.