The Simple Moving Average (SMA) is an arithmetic moving average The Simple Moving Average (SMA) is calculated by adding the closing price of a certain number of time periods and then dividing this total by that number of time periods. Example: A 5 period Simple Moving Average (SMA) is equal with the sum of the closing price of the last five periods, divided by five. A 20 period Simple Moving Average (SMA) is equal with the sum of the closing price of the last twenty periods, divided by twenty. List of Moving Averages Indicators in Technical Analysis: |
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