What Is a Moving Average (and Common Types)
**Moving Average = Probably the Most Widely Used Technical Indicator.** Moving averages are among the most widely used technical indicators. I would even say moving average is the most widely used technical indicator, though no one can really know and count this. Moving averages enjoy this privilege thanks to their simplicity, both in calculation (or setup in a charting program) and interpretation. [more ...]
Moving Average Parameters
This page explains the three parameters for moving averages and how each affects the moving average values and related trading strategies. **Three Moving Average Parameters.** So you want to add a moving average on your charts. What are the parameters you have to set or choose? There are only a few (three): The prices that will be used for calculating the average: close, average of high and low, average [more ...]
Moving Average Period and Which Is Best
This page explains the period length input for moving averages, how to choose a good period, and how it affects the moving average values and trading. **Moving Average Period Meaning.** The length of a moving average period, or simply moving average period, means how many bars are used for calculating the moving average. When you are selecting a moving average period length, you are deciding how far [more ...]
Calculating Moving Average from Close and the Other Methods
This page discusses the different prices which can be used to calculate moving averages. Using closing prices is by far the most common, but there are several other methods. **Calculating Moving Average from Close.** Most people calculate moving averages (or let their software calculate it) from the closing price of each bar. This has a valid reason on daily or weekly charts, because the price at which [more ...]