Moving Average (MA)
An indicator frequently used in technical analysis showing the average value of a security's price over a set period. Moving averages are generally used to measure momentum and define areas of possible support and resistance.
Investopedia Says:
Moving averages are used to emphasize the direction of a trend and to smooth out price and volume fluctuations, or "noise", that can confuse interpretation. Typically, upward momentum is confirmed when a short-term average (e.g.15-day) crosses above a longer-term average (e.g. 50-day). Downward momentum is confirmed when a short-term average crosses below a long-term average. Related Terms:
Average Price
Exponential Moving Average - EMA
Indicator
Mean
Momentum
Moving Average Chart
Moving Average Convergence Divergence - MACD
Resistance
Simple Moving Average - SMA
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