Jump to content

Simple Moving Average

Recommended Posts

I'm obviously doing something wrong here but the values showing for the Simple moving average on my charts seem to be different to the actual values (from google/various experts charts). What am I doing wrong?

E.g. on the US500, I get the 200 day moving average to be 4250 on my chart but 4328 seems to be what google says?


Link to comment

Hi Billbot, the chart price you see on IG charts is always different from the underlying market. If you look at the bottom left of any IG chart you will see "Data is indicative". In the case of the US500 IG takes the price of the current ES (S&P 500 futures contract) and the next futures contract. They then do some adjustments resulting in the price you see on the chart.

That way they can offer you free real time data (access to real time market data costs a lot of money, in the case of markets trading at the CME the price is currently about 200$). If you need accurate readings (including LVL2), I would suggest you look for a data feed provider such as IQFeed or Rythimic and plug it to a professional charting package such as RInvestor+

Link to comment

Thanks again ItsAlex. That makes sense but the descrepancy I am getting seems too big for this to be the reason (maybe I am wrong though). I also noticed on IG's chartingthemarkets today, Chris B's chart of US500 had the 200 day sma where it should have been according to google etc. which is quite a way out from my chart.

Can you tell me what you get for the 200 day sma on Nasdaq (daily chart for US500 doesn't load today for some reason) as of today on your IG chart?

Link to comment

Yeah sure, the Nasdaq 100 E-mini September (current contract) 200 Daily SMA is @14072.50 (Data from IQFeed with a subscription to the CME). I have attached a daily chart if needed

On the IG platform US Tech 100 Daily SMA is @ 13528.55200 which was just crossed by price 💀.


Edited by ItsAlex
Link to comment

Ok, that is what I get (so I am not doing something dumb). That is a big difference. There is not much use using it as an indicator if it is that far out then I guess. If everyone else in the trading world is using something different it is as good as useless no?

Link to comment

I have just discovered this problem myself. I've been looking at the S&P 200-day SMA, and on the IG charts, it has already been breached last Friday and the price is well above now. However, on TradingView, MarketWatch, and the rest of the trading world(?), it has not reached it yet! WTF! And the discrepancy is not tiny, it is 'non-trivial', and therefore misleading.

Edited by jdh1602-2
Link to comment

The response from IG's help desk is:

"When calculating the moving average we use our prices adjusted for spread in the MA formula. The difference would be caused by our spread adjustment and the MA you're seeing on other platforms uses the underlying Cash Price."

I still can't believe the descrepancy should be as big as it is

Link to comment

I called IG helpdesk myself, and I got a similar answer to you, Billbot. Maybe Kodiak, above, is right, but I haven't done the maths myself! Either way, if we look at our own 200-day SMA on IG, we are getting a different perspective to much of the trading world out there. 

Here's my solution (which perhaps is what many others do?). Change the day count setting from 200 to something higher (or lower in other circumstances?) so that it matches more closely to the 'standard' curve that the rest of the world is looking at! As of today, a 250-day SMA on IG looks close to the 200-day 'normal' SMA on other platforms! I'm guessing other 'standard' curves, may need adjustment, not sure.

Link to comment

It doesn't seem to work with other indices. If the reason was because of including weekends it should remedy it on all indices.

If the reason is as IG say then it really is as good as useless (in fact worse) as an indicator on the IG platform.

Link to comment

For S&P500 and NASDAQ 100, i'm using 250, 185 and 125 on IG to roughly match 200, 150, and 100 on TradingView...but nothing beyond those 2 indices, This is not critical for me, but lately i have been completely misled by the IG curves compared to what market commentators were saying/showing. I think it may have been confusing me for years without me realizing it! Sad, but true.

Link to comment

That's odd I tried on Nasdaq and it seemed to be well out. I am getting 14038 for 250 sma on IG. google is telling me it should be 13498. What are you getting? I notice on trading view the volume looks totally different to that on IG too.

Link to comment

I'm not sure if you can change the title of this thread, but if it said something like "Moving Averages on IG don't match other platforms", that would alert some other people to this issue. To be honest, i'm mildly disturbed by this discovery! 

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • Massa is making waves in the DeFi space with its innovative approach to blockchain technology. Their unique blockclique architecture boasts a staggering 10,000 transactions per second, putting them at the forefront of scalability and efficiency. Furthermore, their Autonomous Smart Contracts (ASCs) empower fully on-chain dApps, reducing reliance on centralized control. This focus on decentralization is further emphasized by the project's impressive network growth. Their testnet has ballooned to over 8,000 nodes, and their social media presence has exploded with tripling Twitter followers and a Discord community exceeding 105,000. Recent collaborations with Starknet, Umbrella, and Hyperlane solidify their commitment to fostering a robust DeFi ecosystem. Listing on Bitget and the backing of over 100 well-respected investors paints a promising picture for Massa's future as a major DeFi player.
    • Nettensor is making waves in the tech industry by offering a unique combination of AI infrastructure and advanced blockchain solutions. They leverage cutting-edge hardware to deliver fast, efficient, and powerful products designed to streamline the convergence of these two revolutionary technologies. It boasts a comprehensive suite of services, including NetCloud, NetGPU, NetApp Chain, and NetVPN. Notably, their native token, NAO, recently debuted on the Bitget exchange and has been experiencing a positive initial price trend. With its focus on simplifying and elevating the synergy between AI and blockchain, Nettensor is positioned to be a key player in the future of decentralized applications. But will NAO's bullish start translate into long-term success? Only time will tell.
    • The spike in volume you're noticing around 7 pm could be related to the closing of trading sessions or the release of important news. Regarding your experience with a sudden wick spike, this is a common challenge in trading. Setting appropriate stop-loss levels and being prepared for volatility can help manage such risks. As for news sources, financial news outlets like Bloomberg, Reuters, and CNBC can provide valuable insights into market trends. Also, I came across this interesting platform, smarterbusiness.co.uk, which helps businesses find optimal utility providers. While it may not be directly related to trading, having access to the right info and resources can be crucial in any business endeavor.
  • Create New...