A Weighted Moving Average puts more weight on recent data and less on past data. This is done by multiplying each barâ€™s price by a weighting factor. Because of its unique calculation, WMA will follow prices more closely than a corresponding Simple Moving Average. That is because the latest numbers are given more weightage.

A Weighted Moving Average puts more weight on recent data and less on past data. This is done by multiplying each barâ€™s price by a weighting factor. Because of its unique calculation, WMA will follow prices more closely than a corresponding Simple Moving Average. That is because the latest numbers are given more weightage.