Here’s the deal: There are endless possibilities when it comes to moving average. You’ve got the 50 day moving average, 100 day moving average, 200 day moving average, etc. So you’re wondering: “Which is the best moving average?” Well, there’s no best moving average out there because it doesn’t exist (as it depends on your objective current market structure).

This post was originally posted here. The writer, Rayner Teo is a veteran community member and blogger on InvestingNote, with username known as Rayner and has 457 followers.

But in a healthy trend, the 50 day moving average is king. And that’s what you’ll discover in today’s post, so read on…

What is 50 day moving average and how does it work?

First, what’s a Moving Average (MA)?

The Moving Average (MA) is a technical indicator that averages out the historical prices.

For example:

Over the last 5 days, Google had a closing price of 100, 90, 95, 105, and 100.