Today I want to discuss a timeless but always practical topic—moving averages.

Open any mainstream exchange, and you'll find that moving averages are usually the default technical indicator. How fundamental are they? Let's put it this way: indicators like MACD and Bollinger Bands are essentially built upon the moving average with additional computational logic. In the market charts, moving averages are definitely one of the most widely used technical indicators.

**Two core conclusions of moving averages (this is the essence):**

**First**: When the price is above the moving average, all the moving averages below act as support; when the price is below the moving average, all the moving averages above act as resistance.

**Second**: Moving average crossovers do not necessarily produce trends, but any trending market will inevitably be accompanied by moving average crossovers.

These two points are the core of the moving average theory.

**My moving average combination is set as: 13, 21, 55, 144.**

Among them, 13, 21, and 55 are the offensive group. By observing the crossover states of these three lines, we can determine when to enter the market. 144 is the directional group, and its relative position to the price determines whether we go long or short.

How does this moving average system perform in actual market conditions? Through validation with two specific cases, I want to illustrate that—although the moving average indicator seems simple and easy to learn—once used correctly, it can help you reliably capture a trend. Mastering it will make your trading logic much clearer.