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Moving Average
A technical indicator that smooths price data over a specific period.
Moving averages calculate the average price over a set number of periods, smoothing out short-term fluctuations. Simple moving averages (SMA) weight all periods equally, while exponential moving averages (EMA) give more weight to recent prices. Common periods include 50-day and 200-day moving averages.
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Quick Reference
Category
technical
Difficulty
Beginner
Reading Time
1 min
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Where You'll See This
This concept appears throughout stock detail pages and financial data.