Financial Education

Moving Average (MA)

Average of past prices. Simple (SMA) or exponential (EMA)

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Technical

Moving Average (MA)

Average of past prices. Simple (SMA) or exponential (EMA)

Definition

Moving averages smooth price data to identify trends. SMA gives equal weight to all periods, while EMA gives more weight to recent prices. Crossovers and slope changes provide trading signals.

Related Topics

#trend identification #smoothing #support/resistance #signal generation

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Category: Technical

Technical analysis focuses on price patterns, chart analysis, and mathematical indicators to predict future price movements.

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