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Moving Average Crossovers

Playing with Moving Averages

by Guest Poster on April 28, 2010

The easiest of the all the technical indicators to follow is the moving average.  There are two types of commonly used moving averages when you first begin to learn stocks.  The first is the simple moving average (SMA) which “simply” averages all of the closing prices for the last number of days.  The other option is the exponential moving average (EMA) which averages over a given number of days but gives more weight to the recent prices versus the older prices.  For most cases either moving average will work fine, but play with both of them to determine which style [...]