ARTICLE SYNOPSIS...Examining the EMA by Tim Treloar You know how to apply the exponential moving average, but what do you know about its development and behavior? Here's a deeper look at the popular moving average. The popular exponential moving average (EMA) depends on
ARTICLE SYNOPSIS...AVERAGING LAG AND THE EMA CONSTANT The equation to compute an exponential moving average (EMA) is: ... Picture a function that increases by 1 for each new day. Then, on the generalized i th day the function will have a value of I . Assume the EMA lag
ARTICLE SYNOPSIS...Some people are so rich that the gyrations of the financial markets don't mean a thing to them. But for mere mortals possessed of ordinary financial means, whenever a stock or stock index closes below its all- important 200-day EMA, traders and inve
ARTICLE SYNOPSIS...In an exponential moving average, the smoothing fac tor, also known as a weighted multiplier or alpha, is the parameter that determines how values in the lookback period are weighted. Weights decline exponentially as the data points get older. How