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Weighted Moving Average

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[2018-09-18 14:13:55] #1 [Go To First Post]
RonW - Posts: 103
I am having a little trouble deciphering the formula for Weighted Moving Average in the Help section. Is it the same as, for a 3 period moving average, (3 * most recent + 2 * 1 period ago + 1 * 2 periods ago) /3 ???? Thanks

[2018-09-18 16:08:09] #2 [Go To First Post]
John - SC Support - Posts: 31027
Almost. You need to divide by the sum of the weights, or in your example - 6. n(n+1)/2 = 3(3+1)/2 = 6. This is the same as 3 + 2 + 1 = 6. For the most reliable, advanced, and zero cost futures order routing, use the Teton service: Sierra Chart Teton Futures Order Routing

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