# Simple Moving Average

Simple Moving average is a statistical concept. It is used in calculation of, average of closing price for a time period. SMA is calculated by, adding the closing price of time period and then divide it by number of time period.

### Calculator of Simple Moving Average

 Enter Data (separate by comma,) Example: 2,3,4,5,6 Simple Moving Average (SMA) =

### Formula of Simple Moving Average where,

• n = Number of Data
• d = Moving Average
• Days M = Data

### Example of Simple Moving Average

Calculate the Simple moving average, when time period is 3 and the closing prices are 25, 85, 65, 45, 95, 75, 15, 35

#### Given

Closing Prices = 25, 85, 65, 45, 95, 75, 15, 35
Time Period = 3 days

#### Solution of Simple Moving Average

Calculation of SMA from 3rd day to 8th day, in time period of 3 days.

Average

A3 = (25 + 85 + 65) / 3
A4 = (85 + 65 + 45) / 3
A5 = (65 + 45 + 95) / 3
A6 = (45 + 95 + 75) / 3
A7 = (95 + 75 + 15) / 3
A8 = (75 + 15 + 35) / 3

#### Result

Average

A3 = 58.3333
A4 = 65
A5 = 68.3333
A6 = 71.6667
A7 = 61.6667
A8 = 41.6667 