Weighted Moving Average


Also found in: Dictionary, Medical, Encyclopedia.
Related to Weighted Moving Average: Exponentially weighted moving average

Weighted Moving Average

An average in which some values count for more than others, and in which less recent values are dropped off the average. For example, if an index is weighted for prices over the previous 20 days, this means that the average price of the stocks will move more when the values with higher price move and values are removed from the average after 20 days have elapsed. This helps correct for both outdated information and the fact that averages tend to be affected by extreme values.
Mentioned in ?
References in periodicals archive ?
The calculation of portfolio standard deviations using an equally weighted moving average approach is
Exponentially weighted moving average approaches emphasize recent observations by using exponentially weighted moving averages of squared deviations.
Evaluation of value-at-risk models using historical data
Exponentially weighted moving average control schemes: properties and enhancements", Technometrics, Vol.
Average run lengths of exponentially weighted moving average control charts", Journal of Quality Technology, Vol.
Process adjustment when using EWMA charts
In the analysis the exponentially weighted moving average (EWMA) control chart is used.
Monitoring delivery time with control charts
An advantage of the weighted moving average method is that the small set of model choices simplifies the process of choosing the "best" model and makes it ideal for fairly small data series.
Conceptually, the weighted moving average method is superior to the n-point simple moving average method because it places relatively more weight on the most recent observations, whereas the n-point simple moving average method places equal weight on the n lagged observations and excludes all observations more than n periods back in time.
Measuring the services of property-casualty insurance in the NIPAs: changes in concepts and methods
Within the systems analysis framework, there are three specific programs we can institute that are highly cost-effective in hematology: the use of retained patient specimens, weighted moving averages of red cell indices, and clinical quality control.
Weighted moving averages is a patient-result-based system for process control of red-cell-related parameters.
Quality control in the new environment: automated hematology

Financial browser ?
Full browser ?