The Exponential Moving Average (EMA) is a moving average indicator. Moving Average indicators are trend-following indicators which smooth out price data creating a line that follows the trend.
Selecting the EMA indicator on IQ Option:
Setting up the EMA indicator on IQ Option:
After logging into your IQ Option account, set up your Japanese candles chart.
Next, click on the indicators feature and then select moving averages. Next, select the Moving Average.
Adjusting the moving average settings
In our first example, we'll trade using the 14 period EMA and 28 period EMA. You'll need to repeat the set up procedure twice to create the two EMA lines. For the EMA 28 change the color to yellow. For the EMA14 change the color to green. Remember to click on apply when you're done.
Trading IQ Option using EMA14 and EMA28 :::
When trading using the EMA14 and EMA28, your objective is to identify where the two indicators cross each other as well as the distance between them as they track the prices.
When the EMA28 crosses under the EMA14 and the distance between them is wide, it's a signal for a strong uptrend. The prices are above both indicators.You should enter a ''Buy position'' As the gap narrows, the uptrend is almost exhausted.
When the EMA28 crosses over the EMA14 and the gap between them widens, it's an indicator of a strong downtrend. Here, the prices are below both indicators. You should enter a "Sell Position"
When both indicators run through the prices, the markets are ranging. At this point, it's best to sit on the sidelines and wait for a trend to develop.
Reference Link:
https://blog.iqoption.com/en/the-power-of-crossovers-ema-trading-techniques/
https://iqtradingpro.com/ema-indicator-in-iq-option/
