# Determine each of the 5 day moving averages for the month of march and what kind of trend can be seen from the data?The following shows the closing stock price for RIM during the month of March:...

Determine each of the 5 day moving averages for the month of march and what kind of trend can be seen from the data?

The following shows the closing stock price for RIM during the month of March: 13.5 , 13.6 , 13.2 , 13.1 , 12.9 , 13.1 , 13.4 , 13.0 , 13.3 , 13.1 ,13.3 , 14.3 , 14.2 , 13.8, 13.7 , 13.9, 13.8, 13.7, 13.7, 14.6

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The closing stock price for RIM during the month of March is: 13.5 , 13.6 , 13.2 , 13.1 , 12.9 , 13.1 , 13.4 , 13.0 , 13.3 , 13.1 ,13.3 , 14.3 , 14.2 , 13.8, 13.7 , 13.9, 13.8, 13.7, 13.7, 14.6

The five day moving average is calculated by taking five consecutive values of the stock price and determining their average. The first value that can be estimated would be on day 6.

T1 = (13.5 + 13.6 + 13.2 + 13.1 + 12.9)/5 = 13.26

To find the next 5 day moving average drop the value of the first day and add the value of day 6 while estimating the average. Following the same would give the other moving averages. This has been done using Excel to give the averages as: 13.26, 13.18, 13.14, 13.1, 13.14, 13.18, 13.22, 13.4, 13.64, 13.74, 13.86, 13.98, 13.88, 13.78 and 13.76

From the values of the average there is no specific trend that can be determined. The price drops, then rises and then starts to drop again.

13.26 | 13.18 | 13.14 | 13.1 | 13.14 | 13.18 | 13.22 | 13.4 | 13.64 | 13.74 | 13.86 | 13.98 | 13.88 | 13.78 | 13.76 |