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Moving Averages

Smoothing price noise to see the trend

A moving average smooths out short-term noise by averaging the closing price over N days. The 50-day MA and 200-day MA are widely watched. When the 50-day crosses above the 200-day (the 'golden cross'), it signals an uptrend. The opposite (the 'death cross') signals a downtrend.

Quick check

What is the 'golden cross' signal?