Fast averages on the one-minute chart: still too slow?

[FXS London Scalper]

Moving average crossovers are among the first tools traders learn. On M1, they usually signal after most of a short move is over.

Why:

• A crossover needs price to move far enough for the faster average to pass the slower one.
• For a 5 and 20 period pair on M1, that typically takes several minutes of movement.
• Scalping moves on EURUSD often last only a few minutes.

Worked example: a 6 pip move over 5 minutes. The crossover may happen 3 to 4 pips into the move. With a 5 pip target, the remaining room is small.

Better uses of moving averages for scalpers:

• As a trend filter on a higher timeframe, for example M15.
• As dynamic levels for pullbacks.
• As a visual guide, not as an entry trigger.

Testing a crossover strategy on M1 with realistic costs is a useful exercise; it usually shows why the approach struggles.

Do you use moving averages, and how?