Moving Average

The Moving Average is a commonly used technical analysis indicator that helps smooth out price data over a specified period. It provides an average value of a set of data points, allowing traders and investors to identify trends and make informed decisions.

How to calculate Moving Average?

The formula used to calculate the Moving Average is as follows:

Moving Average = Sum of data points in the specified period / Number of data points in the specified period

The Moving Average is calculated by taking the sum of the data points within the specified period and dividing it by the number of data points in that period. This calculation is performed for each period, resulting in a series of moving average values.