Mov Avg 3 Lines (Indicator) (2024)

Table of Contents

Input Information Market Synopsis Plot Information

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Input Information

Name	Expression	Default	Description
Price	Numeric	Close	Value to be used in calculating the moving averages.
FastLength	Numeric	4	Number of bars to include in calculating the "fast" average.
MedLength	Numeric	9	Number of bars to include in calculating the "medium" average.
SlowLength	Numeric	18	Number of bars to include in calculating the "slow" average.

Market Synopsis

The moving average may be the most widely used indicator. The Mov Avg 3 line indicator calculates and plots three simple arithmetic averages of the same prices, specified by the Price input, from each of the most recent number of bars specified by the Length inputs. For example, the default setting is to calculate and plot a simple average of the closing prices of the last 4 bars, the last 9 bars and the last 18 bars. The shorter (also known as faster) the length of an average the more sensitive it will be to current price changes than longer (slower) averages.

Moving averages are generally used for trend identification. Attention is given to the direction in which the averages are moving and to the relative position of prices and the averages. Rising moving average values (direction) and prices above the short moving average and the shorter moving averages above the longer moving averages (position) would indicate an uptrend. Declining moving average values and prices below the short moving average and the shorter moving averages below the longer moving averages would indicate a downtrend. Using multiple moving averages may make it easier to gauge neutral periods, or differentiate between strong and weak trends.

Plot Information

Number	Name	Default Color	Description
Plot1	FastAvg	Yellow	Plots the first moving average value.
Plot2	MedAvg	Cyan	Plots the second moving average value.
Plot3	SlowAvg	Magenta	Plots the third moving average value.