The EMA is a very handy tool. It lets us calculate an average over recent data. But, unlike a Simple Moving Average, we don't have to keep a window of samples around—we can update an EMA "online," one sample at a time.
But the perennial question is: how do you start an EMA?
First, here are a couple of wrong ways.Continue reading "The correct way to start an Exponential Moving Average (EMA)"