Calculate the simple three-day moving average for the S&P 500 and the exponential three-day moving average where two-thirds of the weight is placed on the most recent close. Why would you want to know the moving average for an index? If the close on April 12, 2019, was below the three-day moving average, would it be a buy or sell signal?
Calculate the simple three-day moving average for the S&P 500 and the exponential three-day moving average where two-thirds of the weight is placed on the most recent close. Why would you want to know the moving average for an index? If the close on April 12, 2019, was below the three-day moving average, would it be a buy or sell signal?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Calculate the simple three-day moving average for the S&P 500 and the exponential three-day moving average where two-thirds of the weight is placed on the most recent close. Why would you want to know the moving average for an index? If the close on April 12, 2019, was below the three-day moving average, would it be a buy or sell signal?
Transcribed Image Text:Date
Close
4/1/2019 2,867.19
4/2/2019 2,867.24
4/3/2019 2,873.40
4/4/2019 2,879.39
4/5/2019 2,892.74
4/8/2019 2,895.77
4/9/2019 2,878.20
4/10/2019 2,888.21
4/11/2019 2,888.32
4/12/2019 2,907.41
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