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Simple moving average

Simple Moving Average:  A Simple Moving Average (SMA) is a widely used trend-following (lagging) indicator based on the past price. It also serves as the basis for other technical indicators and thus keeps an important place in technical analysis. It is the average closing price over the specified timeframe. The 10, 20, 50, 100, and 200 periods are the most common time frames used when creating moving averages. It can identify a stock trend and support/ resistance levels.