Simple Moving Average

Description

The Simple Moving Average is one of the most common smoothing functions used on time series data. It takes one parameter, the period n. Larger values for n will have a greater smoothing effect on the input data but will also create more lag.

In financial applications a simple moving average (SMA) is the unweighted mean of the previous n data. An example of a simple equally weighted running mean for a n-day sample of closing price is the mean of the previous n days' closing prices, with the formula being:

Syntax

${\displaystyle fx=BT\_I\_SMA(Input1,Period)}$