Triangular Moving Average

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Description

A triangular moving average is similar to exponential and weighted moving averages except a different weighting scheme is used. Exponential and weighted moving averages assign the majority of the weight to the most recent data. Simple moving averages assign the weight equally across all the data. With a triangular moving average, the majority of the weight is assigned to the middle portion of the data.

A triangular moving average is simply a double-smoothed simple moving average. To calculate a 9-period (similar for all odd periods) triangular moving average:

1. Divide 9 by 2 to get 4.5
2. Round 4.5 up to 5
3. Triangular moving average (odd periods) = (mov(mov(c,5,s)5,s)

A 12-period (similar for all even periods) is calculated as follows:

1. Divide 12 by 2 to get 6.
2. Add 1 to 6 to get 7*.
3. Triangular moving average (even periods) = (mov(mov(c,6,s),7,s)

The rule is to take the length divided by 2 as one average, and that number plus 1 as the second.