How Do You Calculate The Percentage a Stock is Above the 200 Day Moving Average?

SCAlchemist
SCAlchemist ✭
in Using Technical Analysis

Some analysts define "Overbought" by being a percentage above the 200 day moving average?

I was just wondering how you calculate it?

Comments

  • markd
    markd mod
    edited December 2017
    It would be the difference between the close and the MA, divided by the MA.

    (close - MA)/MA

    So, for instance, if the close is 25 and the MA is 20

    (25 - 20) = 5

    5/20 = .25 or 25% above the MA

  • sunnyview
    sunnyview ✭
    You can chart it using the PPO Indicator
  • lmkwin
    lmkwin ✭✭
    You can use the PPO (1,200,1) to show the % difference in relation to the 200 day on a chart. The scale shows the % difference. Change the 200 to whatever number you would like to know where it stands on a chart. You can also use PPO in scans to find stocks with a particular characteristic in relation to your preferences.
  • SCAlchemist
    SCAlchemist ✭
    Thanks, Imkwin!

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