Median Moving Average Using Sorted Period Prices
Summary
The document defines a median moving average as an indicator calculated from the prices observed during a selected lookback period. Rather than averaging all values, it sorts the period’s prices and selects the middle value when the sample size is odd. For an even number of observations, it uses the mean of the two central values.
The indicator has two configurable inputs: the period length and the price series to apply. This describes its calculation, but provides no trading rules, performance evidence, or comparison with conventional moving averages. It also does not specify how missing observations or ties are handled, so implementation details may depend on the platform.
Key ideas
- The indicator sorts prices within a chosen period before calculating its central value.
- For an odd-sized sample, it uses the single middle price.
- For an even-sized sample, it averages the two central prices.
- The period length and applied price are configurable inputs.
- The document gives no evidence that the indicator improves trading results.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.