Technical Analysis

Moving Average (SMA / EMA)

Definition

A trend-following indicator that smooths price data by creating an average price over a specific period. Simple Moving Average (SMA) weights all periods equally; Exponential Moving Average (EMA) gives more weight to recent prices.

Example
A 50-day SMA crossing above the 200-day SMA is a bullish “golden cross.” Relative Strength Index (RSI) Category: Technical Analysis Definition: A momentum oscillator measuring the speed and magnitude of recent price changes on a scale of 0–100. Readings
Related Terms
Bollinger Bands
Frequently Asked Question
What is Moving Average (SMA / EMA) in trading?
A trend-following indicator that smooths price data by creating an average price over a specific period. Simple Moving Average (SMA) weights all periods equally; Exponential Moving Average (EMA) gives more weight to recent prices.
APA Citation
Clark, R. (2025). Moving Average (SMA / EMA). VixShield Trading Glossary. Retrieved from https://www.vixshield.com/glossary/moving-average-sma-ema
RC
Russell Clark, FNP-C
Author of SPX Mastery series · Founder of VixShield
Last updated:  ·  Source: VixShield Trading Glossary — From SPX Mastery by Russell Clark
⚠️ Not financial advice. This definition is educational content from the SPX Mastery book series by Russell Clark (VixShield). Past performance is not indicative of future results. Trading options involves substantial risk of loss and is not appropriate for all investors. Always paper trade before risking real capital.