 | A Moving Average is an indicator that shows the average value of a security's price over a period of time. A Simple, or Arithmetic, Moving Average is calculated by adding the price of the security for a number of time periods (e.g. 12 days) and then dividing this total by the number of time periods. The result is the average price of the security over the time period. Simple moving averages give equal weight to each daily price. |
