26dma

How to Calculate Daily moving averages

 

26-day moving average

12 Day moving average

 

 

A

B

C          D

E             F

 

1

Day 1

20

 

2

Day 2

22

-

 

 

 

3

Day 3

23

-

 

-

 

 

4

Day 4

23

-

 

-

 

 

5

Day 5

24.5

-

 

-

 

 

6

Day 6

23

-

 

-

 

 

7

Day 7

20

-

 

-

 

 

8

Day 8

21

-

 

-

 

 

9

Day 9

22

-

 

-

 

 

10

Day 10

22.3

-

 

-

 

 

11

Day 11

21.6

-

 

-

 

 

12

Day 12

23

-

 

-

Average(B1:B12)

 

13

Day 13

24

-

 

22.12

AVERAGE(B2:B13)

 

14

Day 14

21

-

 

22.45

AVERAGE(B3:B14)

 

15

Day 15

22.3

 

 

22.37

AVERAGE(B4:B15)

 

16

Day 16

23.5

-

 

22.31

AVERAGE(B5:B16)

 

17

Day 17

24

-

 

22.35

Average(B6:B17)

 

18

Day 18

24.1

-

 

22.31

AVERAGE(B7:B18)

 

19

Day 19

24.1

-

 

22.40

AVERAGE(B8:B19)

 

20

Day 20

24.3

-

 

22.74

AVERAGE(B9:B20)

 

21

Day 21

24.5

-

 

23.02

AVERAGE(B10:B21)

 

22

Day 22

24.3

-

 

23.23

Average(B11:B22)

 

23

Day 23

23.4

-

 

23.39

AVERAGE(B12:B23)

 

24

Day 24

24.5

-

 

23.54

AVERAGE(B13:B24)

 

25

Day 25

24.6

-

 

23.67

AVERAGE(B14:B25)

 

26

Day 26

25

23.04

>=Average(B1:B26)

23.72

AVERAGE(B15:B26)

 

27

Day 27

24

23.19

>=AVERAGE(B2:B27)

24.05

Average(B16:B27)

 

28

Day 28

25

23.31

>=AVERAGE(B3:B28)

24.19

AVERAGE(B17:B28)

 

29

Day 29

25.1

23.39

>=AVERAGE(B4:B29)

24.32

AVERAGE(B18:B29)

 

30

Day 30

25.3

23.48

>=AVERAGE(B5:B30)

24.41

AVERAGE(B19:B30)

 

31

Day 31

25

23.50

>=AVERAGE(B6:B31)

24.51

AVERAGE(B20:B31)

 

32

Day 32

25

23.57

>=AVERAGE(B7:B32)

24.58

Average(B21:B32)

 

33

Day 33

25.3

23.78

>=AVERAGE(B8:B33)

24.64

AVERAGE(B22:B33)

 

34

Day 34

24.3

23.90

>=AVERAGE(B9:B34)

24.71

AVERAGE(B23:B34)

 

35

Day 35

26

24.06

>=AVERAGE(B10:B35)

24.71

AVERAGE(B24:B35)

 

36

Day 36

26.2

24.21

>=AVERAGE(B11:B36)

24.93

AVERAGE(B25:B36)

 

37

Day 37

24.5

24.32

>=AVERAGE(B12:B37)

25.07

Average(B26:B37)

 

38

Day 38

24.6

24.38

>=AVERAGE(B13:B38)

25.06

AVERAGE(B27:B38)

 

39

Day 39

24.5

24.40

>=AVERAGE(B14:B39)

25.03

AVERAGE(B28:B39)

 

40

 

 

The 26 day moving is calculated by summing up the last 26 days prices and dividing them by 26 i.e >=Average(B1:B26). On day 27th , the day1 price is excluded and day27 price is included i.e >=AVERAGE(B2:B27). Similarly, latest prices are
 included and the earliest are excluded.

 

To calculate the 12 day moving average (DMA), the first 12 days prices are summed up and divided by 12. In MS excel, you would use =Average (B1:B12) to calculate the first 12 days average. On day 13th, day1 price is excluded and day 13
 price is included.

On day 39, the moving average of 24.4 represents the daily average for day14 to day39, i.e =Average (B14:B39). And the 12 day moving average at day39 is equal to 25.03 and represent average price of day28 to day39.

MACD at day 39 is equal = 12 day moving average – 26 day moving average

                                                  = 25.03 – 24.4

                                                 = +.63

The value shows uptrend and generates buy signal

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