:?: The averages don't need to actually cross according to the guidelines of this simple little observation as far as I understand it. Where did you read that inclusion CB?
All that's required to begin preparing for a potential long trigger is for price to be to the North of all 3 sma's.
Once price has penetrated & held the Northerly ground on the 4 & 1hr timeframes, you begin homing in on the 5min frame to fine tune? your potential entry.
If you were looking to initiate a fresh entry late last week, then Friday lunchtime (London) offered a couple decent 5min bar leg in's with no real reason to book profits until the lazy pullback (lower lows & highs on the 5min) through 2.0270-250 today?
Price is now 0.5 cent shy of the averages on the 4 & 1 hr timeframes & channeling down on the 5min.
It's going to require a decent break & pullback above 2.0250 now to be honest, to not only negate the lower low/lower high roll (on the 5min), but also trigger another 'long' according to the 3 duck rule set.
Otherwise, if price threatens the 2 higher timeframe sma's at circa 2.0150, you'll be gearing up to flip to shorts on a likely pullback opp.
Like the guy suggests, utilizing this additional reference in harmony with local & regional support/resistance will probably assist in offering a heads up to near term directional flows.
Even more so if you also obey the peak & trough behaviour on your preferred template timeframe.
It's not a bad little piece of kit for (potential) front running entries via the 5min, then screwing back out & managing the position via the less windy hourlies!
