Question Details

	Username: Maria Rating: Asked to: Goro Yang Date Created: 05 Jun 2015
Category	17
Tag	Forex
Question	What is Exponential Moving Average?

Advice from Guru

Hello Maria,

A type of moving average that is similar to a simple moving average, except that more weight is given to the latest data.

This type of moving average reacts faster to recent price changes than a simple moving average. The 12- and 26-day EMAs are the most popular short-term averages, and they are used to create indicators like the moving average convergence divergence (MACD) and the percentage price oscillator (PPO). In general, the 50- and 200-day EMAs are used as signals of long-term trends.

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