Guru's moving averages

[ArthurGen]

I get many PM's asking me what moving averages I use. Since the SMA(200) is widely considered an important reversal, support and resistant line, I use it in all my time frames. Here they are.
These are all simple moving averages(SMA)

MA(200)
MA(100) which equals to the 3.25 hour MA(200)
MA(31) which equals to the hourly MA(200)
MA(15) which equals to the 30 minute MA(200)

[AviaLaf]

So if you are watching a daily chart with these MA's, you can also see what the stock is doing on an hourly basis. Lets look at PIR today. I went short yesterday 1000 shares @ $6.09. Why? It is in a downtrend with lots of resistance ahead. It was approaching MA(15), the same as the 30 minute ma(200), which was major resistance. Today PIR gapped down and is trading at $4.83 with much more downside. I did not anticipate a selloff like this, but I anticipated resistance and a pullback. I also went short NYNY yesterday, 5000 shares at $2.88 because it too is in a downtrend and it was approaching resistance at the ma(15). Today it touched the ma(15) and is going down. Currently it is at $2.74. Moving averages are pretty powerful because so many traders use them.

[avidinuq]

Instead of just radomly using any moving average, I chose to use moving averages that make sense and are relevant to me. Since the daily MA(200) is so powerful, I decided to break it down to a half day, hourly and 30 minute chart. So half a day of a daily ma200 is ma(100). 200 divided by 6.5 hours in a trading day equals to 30.77, so I rounded it of to MA(31). 200 divided by 13 half hours in a trading day equals to MA(15.38), I just rounded it to MA(15). So now, when I look at a daily chart I can see if a stock has crossed a critical intraday MA(200), without having to switch from daily to intraday. These moving averages work for me and I'm very comfortable using them. They may not work for everyone. That is why I encourage everyone to find what works best for them.
I hope this explanation made sense

[admin]

Looking at a 3 year weekly chart, PIR has dropped from about $14 to $5. On a one year chart, PIR topped out around resistance of $8.50. On a 3 month chart, PIR has formed a dome shape. In my opinion, I interpret all of that as a downtrend. Also, trendlines are very important. Stocks make big moves when trendlines are broken, up or down. The short term trendline I drew ran down to about $6.50. PIR got up to $6.24 before it sold off today. Lastly, the ma15 was below the ma(31) and the RSI(2) was overbought at 92.07. PIR was an easy short candidate and it worked out me.