Different Of Moving Average
Trend, DMA
- What it shows
Two lines: the gap between a short and a long moving average, and a smoothed copy of that gap. It shows how fast the trend is pulling apart.
- How it is built
The difference of two simple moving averages is drawn as one line, and a moving average of that difference is the second.
Default: Set in the Inputs window.
- How traders read it
- The gap above zero means the short average is above the long one.
- The two lines crossing is read as a change of momentum.
- A widening gap shows an accelerating trend.
Related indicators
Moving Average WeightedDouble EMATriple EMAArnaud Legoux Moving Average