Two common types are the simple moving average (SMA) and exponential moving average (EMA).Īn SMA is calculated by totaling the closing price of a security over a set period and then dividing that total by the number of time periods.įor example, the calculation for a 10-period SMA would be: There are different types of moving averages. Wealth and Investment Management Solutions.Meet the experts behind Schwab's investing insights.Environmental, Social and Governance (ESG) Investing.
