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
  • General Statistics

    • Total Topics
    • Total Posts
    • Total Members
    • Most Online
      10/06/21 20:53

    Newest Member
    Joined 05/12/23 21:04
  • Posts

    • Arguably, the first principle is Do Your Own Research (DYOR). Though this is not to say that “invest what you can afford to lose" is any less important yah. Aside from FA, I also use TA when I want to DCA in on any project and I also pay attention to the tokenomics. Lastly. timing is important, so i like to be an early bird in any projected im interested in. Thats why i keep up with Bitget exchange cos they are timely in listing projects yah.
    • Interesting, seems like a good avenue to increase my equity so how can i participate in the campaign?
    • Dive into DAX's record-breaking run, fuelled by Eurozone inflation easing. Explore market dynamics, technical analysis, and potential risks.   Source: Bloomberg   Indices Inflation DAX Eurozone Technical analysis Interest  Tony Sycamore | Market Analyst, Australia | Publication date: Tuesday 05 December 2023 05:46 Last week marked a historic fifth consecutive gain for the DAX, echoing patterns not seen since October 2022. The DAX’s gains last week were supported by a Eurozone inflation report, which showed inflation eased to 2.4% in November, its lowest level since July 2021. Core inflation fell to 3.6% in November from 4.2% in October. With disinflation in Europe playing out much like in the US, it's no surprise that the European interest rate curve is pricing in five 25bp ECB rate cuts by the end of 2024. The UK rates market isn’t quite as excited about BoE rate cuts. Although headline inflation has fallen from 10.7% to 4.6% last month, core inflation at 5.7% is still too high. This explains why the UK rates market is pricing in just two and a half BoE rate cuts in 2024. The contrasting inflation and interest rate outlook between the Eurozone and the UK helps to explain why the DAX gained 9.41% in November while the FTSE gained only 1.8% during the same time. FTSE daily chart   DAX technical analysis Like its US counterpart, the S&P 500, the DAX has gotten very close, but thus far, failed to break above its year-to-date highs. As viewed on the RSI, the DAX is at extremely overbought levels, and while we remain bullish into year-end, we would not contemplate opening fresh longs at these levels. Instead, we would prefer to use dips back towards support at 16,100/16,000, looking for the DAX to retest and break above the 16,615 July high in the weeks ahead. Aware that a sustained break below the support of the 200-day moving average at 15782 would warn that the rally has run its course and that a deeper pullback is underway. DAX daily chart   Source: TradingView Source Tradingview. The figures stated are as of 5 December 2023. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation.     This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
  • Create New...