So i had a thought - possibly a silly one but here it is. (rookie here)
Why do people use moving averages such as the 21, 50, or 200 on 1min charts? Some might say that it works as S&R because so many people use it - but then we don't move the market, the banks do, and would they really be using the 1min chart??! Would it make more sense to use the 3000ma for instance as it represents the 50ma from a 1hr chart? I just don't understand the use of ma's on the 1min chart, and if they do work... why do they?
Thanks a lot, would put my mind at ease!
Why do people use moving averages such as the 21, 50, or 200 on 1min charts? Some might say that it works as S&R because so many people use it - but then we don't move the market, the banks do, and would they really be using the 1min chart??! Would it make more sense to use the 3000ma for instance as it represents the 50ma from a 1hr chart? I just don't understand the use of ma's on the 1min chart, and if they do work... why do they?
Thanks a lot, would put my mind at ease!