Smoothed Moving Average (SMMA) – FX Replay Guide
The SMMA in FX Replay is a momentum-smoothing trend indicator that helps you track trend direction, spot reversals, and analyze market bias by smoothing out price fluctuations with a heavier emphasis on recent data.
How to Add It in FX Replay
- Go to the Indicators panel.
- Search for “Smoothed Moving Average” or SMMA.
- Apply it to your chart and choose your preferred period setting (e.g., 50 for medium-term, 200 for long-term).
How to Use SMMA in FX Replay
Trend Confirmation:
- Price above SMMA = uptrend → consider long entries.
- Price below SMMA = downtrend → consider short entries.
Reversal Triggers:
- Price cross above SMMA = possible bullish entry.
- Price cross below SMMA = possible bearish entry or exit.
Overbought/Oversold Zones:
- If price is far above SMMA, the market may be overextended → watch for pullbacks.
- If price is far below SMMA, watch for potential bounce setups.
Example in FX Replay
You’re backtesting USD/CAD with a 50-period SMMA:
- Price stays above the SMMA for multiple days → you hold a long bias.
- Suddenly, price closes below the SMMA on a strong bearish candle → this may be your signal to exit or short.
Pro Tip for FX Replay
- Use multiple SMMAs (e.g., 20 + 50 or 50 + 200) to visualize trend layers and golden/death cross scenarios.
- Combine SMMA with support/resistance zones, volume spikes, or price action patterns in your backtests to find high-confluence trade setups.