ipl-logo

Volume Moving Average Research Paper

781 Words4 Pages

Volume Moving Average (VMA) Volume Moving Average, as the name indicates, is a moving average of the volume rather than the price. VMA represents the average volume over a specified period of time and can be used to chart a stock, ETF or index for a period as short as a few minutes to as long as many years. By smoothing out individual surges in the volume activity, VMA allows you to see the general trends and volume patterns of a stock or index. A longer period VMA (aka Slow VMA - a larger number for the period) is often used to highlight long-term surges in volume. Significant volume surges sometimes precede long-term trend reversals. A shorter-period VMA (aka Fast VMA - a smaller number for the period) is often used to highlight short-term volume surges, which may precede short-term trend reversals. Watch out when selecting your period for your VMA to avoid setting your period too high or too low, as the volume will either be smoothed out too much or be too erratic for practical use. An n-period …show more content…

In a research study we may have lots of measures. Or we may measure a large number of people on any measure. Descriptive statistics help us to simplify large amounts of data in a sensible way. Each descriptive statistic reduces lots of data into a simpler summary. For instance, consider a simple number used to summarize how well a batter is performing in baseball, the batting average. This single number is simply the number of hits divided by the number of times at bat (reported to three significant digits). A batter who is hitting .333 is getting a hit one time in every three at bats. One batting .250 is hitting one time in four. The single number describes a large number of discrete events. Or, consider the scourge of many students, the Grade Point Average (GPA). This single number describes the general performance of a student across a potentially wide range of course

More about Volume Moving Average Research Paper

Open Document