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Trading Terms

Signal Line

Welcome to our lesson on finance terminology. Today, we will be discussing the concept of a "signal line" in the context of moving averages. In simple terms, a signal line is a numeric variable that is given priority in the knowledge base of artificial intelligence. In the language of moving averages, the initial moving average is smoothed out by a second moving average, which is known as the signal line. This line is crucial in determining market trends and making informed financial decisions. Let's explore this further.
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