You mean that after a price reversal one could experience a short lived peaking for a few day with then a resettling of a slow rise. One might sell off too early. That actually makes a lot of sense. But one could "see" such a jitterbugging of the price and ignore it without specifically installing the short MA filter. How would one select a short macro? 3 days? 5 days? 20 days?
I am stuck here on that one.
Principally I favor short time trading volatile stock. . .I am out of trading now. . .so I have not much use for such filters in the first place.
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