Hi Roberto,

Thanks for your comment, but I want the rule to be based upon the difference between the moving averages themselves and not the actual price / pips. The reason I say this is that often you will get a price ‘spurt’ up or down within a certain timeframe but that is strictly that, a temporary phenomenon, the price then carries on doing what it was doing. I think the worse thing is that you exit because of say ‘n pips crossover’ and guess what….the actual MA itself – because its an average – stays in the same position. You have now exited the trade because of a price jump, but the MA is still in the same direction ! the psychological impact on you as a MACO trader will not be good, you’ll be kicking yourself. IMHO me personally, I have to stick to the core principle and that’s the average price and not the actual.

As always in trading we need to think of our mindsets and not just the outcome itself….

OSCARDAX