Moving Average Chart

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DEFINITION of 'Moving Average Chart'

A tool used by technical analysts to track the price movements of a security or commodity. It plots average daily settlement prices over a defined period of time, anywhere from a few days to a couple years.

INVESTOPEDIA EXPLAINS 'Moving Average Chart'

Usually, when a stock price moves below its 50-100 day moving average, things are not in your favor. The opposite is true for stocks that protrude their moving average.

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RELATED TERMS
  1. Moving Average - MA

    A widely used indicator in technical analysis that helps smooth ...
  2. Chart Formation

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  3. Exponential Moving Average - EMA

    A type of moving average that is similar to a simple moving average, ...
  4. Technical Analysis

    A method of evaluating securities by analyzing statistics generated ...
  5. Simple Moving Average - SMA

    A simple, or arithmetic, moving average that is calculated by ...
  6. Support (Support Level)

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