INDICATOR

Smoothed Moving Average

Standard

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.