moving averages

Rolling data summaries

Moving averages are statistical calculations that smooth out data by creating a constantly updated average of values over a specified period.

In finance, they're essential technical indicators that help traders identify trends by filtering out short-term price fluctuations: The stock crossed above its 50-day moving average, signaling a potential uptrend.

Common types include simple moving averages, which weight all data points equally, and exponential moving averages, which give more weight to recent values.

technical analysis

simple

Free of complexity

RSI · support · resistance · trendlines · momentum · oscillator · breakout · stochastic · swing trading · day trading

smoothing

noise reduction

Decreasing auditory interference

rolling average · low-pass filter · convolution · kernel · data points · window size · irregularities

time series

trend analysis

Examining directional data shifts

prediction · estimation · economic forecasting · sales forecasting · historical data · periodicity · cyclical patterns · data points · intervals · sequential

calculation

arithmetic mean

Sum over count

summation · divisor · cumulative · recalculating · updating · window · span · parameters · coefficients

Categories
Opposites
temporal smoothing vs. instantaneous measurement

moving averagesraw data

Unanalyzed collected information

real-time data · leading indicators · predictive models · noise

trend-focused vs. volatility-focused analysis

moving averagesstandard deviation

Spread around the mean

variance · price swings · noise · fluctuations · oscillators

lagging vs. leading indicators

moving averagesleading indicators

Statistics forecasting economic direction

predictive models · forecasts · projections

Family

moving, moved, movement, movable, immovable, moves, removing, mover, unmoving

Familiarity
Top 200,000
Profile
Used worldwide · Timeless · Abstract · Rated G