Moving Average Chart

What Does Moving Average Chart Mean?
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.

Filed Under: Active Trading, Technical Analysis

Related Terms

Exponential Moving Average - EMA
Moving Average
Simple Moving Average - SMA
Support
Technical Analysis
More Related Terms

Related Links

Simple Moving Averages Make Trends Stand Out - The moving average is easy to calculate and, once plotted on a chart, is a powerful visual trend-spotting tool.
How are moving averages used in trading?
Discovering the Force Index - Part 1: Introduction - Measure the force, or the power, of bulls behind rallies and bears behind declines.
Discovering the Force Index - Part 2: Trading Rules - Here are the guidelines for making trading decisions using the force index in both a short and intermediate perspective.
Trade free for 30 days + get $100 when you open an account. Plus, get straightforward, $9.99 Internet equity trades and no maintenance fees.
Free Booklet: Smart Trading Techniques

Rate this Term: Your Rating: Overall Rating: Vote Now!