Smoothed Moving Average

The Smoothed Moving Average displays data for a given period of time (N). The formula for calculating this average is as follows: SMMA(i) = (SUM(i-1) – SMMA(i-1) INPUT(i))/N where the first period is a simple moving average.

See also Simple Moving Average.

How To Trade Using the Smoothed Moving Average

The Smoothed Moving Average is a lagging trend indicator and may be used in conjuction with other studies. No trading signals are calculated.

How To Access in MotiveWave

Go to the top menu, choose Study>Moving Average>Smoothed Moving Average

or go to the top menu, choose Add Study, start typing in this study name until you see it appear in the list, click on the study name, click OK.

Important Disclaimer: The information provided on this page is strictly for informational purposes and is not to be construed as advice or solicitation to buy or sell any security. Please see our Risk Disclosure and Performance Disclaimer Statement.

Calculation

//input = price, user defined, default is close
//period = user defined, default is 20
//shift = user defined, default is 0
//smma = smoothed moving average
//index = current bar number

smma = smma(index+shift,period,input);