InvestorQ : What are Weighted Moving averages in technical analysis? Is it the same as moving averages?
Crowny Pinto made post

What are Weighted Moving averages in technical analysis? Is it the same as moving averages?

Answer
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Mahima Roy answered.
1 year ago


A Weighted Moving Average puts more weight on recent data and less on past data. This is done by multiplying each bar’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.