Moving Average
Market timing often looks at various moving averages. Popular are the 50- and 200-day moving averages. Some people consider that if the market has gone above the 50- or 200-day average that should be considered bullish, or below conversely bearish. Technical analysts consider it significant when one moving average crosses over another. The market timers then predict that the trend will, more likely than not, continue in the future. Others say, "nobody knows", and that world economies and stock markets are of such complexity that market timing strategies are unlikely to be more profitable than buy-and-hold strategies.
Read more about this topic: Market Timing
Famous quotes containing the words moving and/or average:
“Thou art a toilsome mole, or less,
A moving mist;
But life is what none can express,
A quickness which my God hath kissed.”
—Thomas Stanley (1625–1678)
“...you don’t have to be as good as white people, you have to be better or the best. When Negroes are average, they fail, unless they are very, very lucky. Now, if you’re average and white, honey, you can go far. Just look at Dan Quayle. If that boy was colored he’d be washing dishes somewhere.”
—Annie Elizabeth Delany (b. 1891)