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1. Assume the following daily closings for the Dow Jones Industrial Average:
Day
DJIA
1
13,010
7
13,220
2
13,100
8
13,130
3
13,165
9
13,250
4
13,080
10
13,315
5
13,070
11
13,240
6
13,150
12
13,310
a. Calculate a four-day moving average for Days 4 through 12.
b. Assume that the index on Day 13 closes at 13,300. Would this signal a buy or sell decision?
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