A Weighted Moving Average puts more weight on recent data and less on past data. This is done by multiplying each barâ€™s price by a weighting factor. Because of its unique calculation, WMA will follow prices more closely than a corresponding Simple Moving Average. That is because the latest numbers are given more weightage.

Mahima Royanswered.A Weighted Moving Average puts more weight on recent data and less on past data. This is done by multiplying each barâ€™s price by a weighting factor. Because of its unique calculation, WMA will follow prices more closely than a corresponding Simple Moving Average. That is because the latest numbers are given more weightage.