Exponential Moving Average - EMA

What does it Mean? A type of moving average that is similar to a simple moving average, except that more weight is given to the latest data. Also known as "exponentially weighted moving average".
Investopedia Says... This type of moving average reacts faster to recent price changes than a simple moving average. The 12- and 26-day EMAs are the most popular short-term averages, and they are used to create indicators like the moving average convergence divergence (MACD) and the percentage price oscillator (PPO). In general, the 50- and 200-day EMAs are used as signals of long-term trends.

Terms Related Links

Linearly Weighted Moving Average
Moving Average
Moving Average Convergence Divergence - MACD
Percentage Price Oscillator - PPO
Simple Moving Average - SMA
Speed Resistance Lines
Technical Analysis

Terms Related Links
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What's the difference between an SMA and an EMA?

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