Invest and Trade Profitably with Jon Johnson

Why do you use the 18 day moving average versus the 10 or 20 day moving averages?

August 30, 2000

We do in fact use the 10 day moving average quite frequently as strong stocks often use that moving average as support when making a strong move up. As for the 18 day moving average over the 20, we have found that strong stocks more often use the 18 day moving average as support as opposed to the 20 day moving average. Sometimes the 20 day acts as support, but in our experience over the years, we have had more success using the 18 day moving average for the tech stocks and similar stocks that make up the bulk of our investing.

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