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Meaning / Definition of
200-day Moving Average
Categories: Stocks, Technical Analysis, Investing and Trading,
An indicator used by traders to determine a stock's closing average over a period of 200 consecutive days. Most traders use this technical indicator to determine trends in the market. In theory, those stocks that continue to close above the 200-day line would be considered healthy, but often those stocks are considered volatile because they usually reverse course and head downward.
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