Simple Moving Average

A simple moving average is a measurement used in technical analysis. This measurement is found by adding the average price (typically the closing price) of a security over a specific set of time frames (normally days) and then dividing the sum by the number of time frames used.

For example, you could find the 30-day simple moving average of a stock by adding the stock’s closing prices on 30 different days and then dividing the sum by 30.

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