TradeRadar Signals - how important are moving averages?

[traderadaroperator]

At Alert HQ, I have implemented a test that looks for the stock to be above its 50-day moving average in order to confirm a BUY signal. Similarly, I look for the stock to be below its 50-day moving average to confirm a SELL signal. The intention is to filter out stocks that are not making significant moves.

Does anyone have an opinion on this approach? Does it make it make the signal too late? Does it filter out too many good trading opportunities?