Average up


 

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Average up

A strategy used by investors to lower the overall cost of shares by buying as many shares with a given amount of capital in an increasing market. Buying $1000 worth of shares at $30, $35, $40, and $45, for instance, will make the average cost of the shares $37.50.



Average up

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Average discount rate

Average discount rate

Purchasers tender their competitive bids on a discount rate basis. The weighted, or adjusted, mean of all bids accepted in Treasury bill auctions.


Average propensity to consume

Average propensity to consume

The fraction of total (or perhaps disposable) income spent on consumption. Contrasts with marginal propensity to consume.


Average Directional Movement

Average Directional Movement

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Average product

Average product

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Moving average

Moving average

Moving averages are one of the oldest and most popular of technical analysis tools. A simple moving average is calculated by adding together the closing prices of a financial instrument over a certain number of days and then dividing the sum by the number of days involved. So, for example, the seven day average for a share price would be calculated by taking seven days worth of data, adding them together and dividing by seven.To calculate the *moving* average:Start by taking the first seven days worth of data and calculating the average value. This is your first point on the moving average chart.Then add the prices for Days 2-8 together and divide by 7. This is the second point on your moving average chart. Continue doing this for Days 3-9, 4-10 and so on, each time plotting the average on the chart. You now have a moving average chart.There are lots of ways of interpreting moving averages. The most basic is to treat a change of direction in the moving average as a signal to buy or sell, so if the moving average has been consistently rising and then it falls, that is a signal to sell.The classical interpretation, used by most technical analysts, is to compare the moving average with the price of the underlying share and to plot them both on the same graph. Before the share price rises above its moving average, buy the share; when it falls below its moving average, sell the share. That is putting it in extremely simple terms, and for a more sophisticated understanding, read one of the many books on the subject. An analyst would normally also consider other types of indicator before making a decision.


Further Suggestions

Average accounting return
Import-weighted average tariff
Average collection period, or days receivables
volume weighted average price
Nikkei stock average
Yield to average life
Average tax rate
Average propensity to import
Moving Average Convergence/Divergence
Weighted average remaining maturity
exponential moving average
average price
Average rate of return (ARR)
Average down
Average life
Average tariff
Trade-weighted average tariff
General Average Contribution
Simple moving average
Lipper Mutual Fund Industry Average
General Average
Expost average rate of return
Average cost
Average daily balance
Average cost


 
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