A weighted moving average (WMA) is formed by calculating the average price of an instrument over a specific number of periods. Most moving averages are based on closing prices. As its name suggests, a moving average is an average that moves. Old data is wipped out as new data comes available. This causes the average to move along the time scale. There are other popular moving average calculating - exponential moving average (EMA) and simple moving average (SMA). This page presents weighted moving average 5 (WMA5) for EUR/JPY, meaning - there are 5 data points on which the WMA5 is based on. Using this indicator will assist you in trading the EUR/JPY pair.