They are actually double-smoothed simple moving averages. The periods used in the simple moving averages varies depending on if you specify an odd or even number of time periods. The following steps explain how to calculate a 12-period triangular moving average. A variable moving average is an exponential moving average that automatically adjusts the smoothing percentage based on the volatility of the data series. The more volatile the data, the more sensitive the smoothing constant used in the moving average calculation.
Sensitivity is increased by giving more weight given to the current data.
Most moving average calculation methods are unable to compensate for trading range versus trending markets. By automatically adjusting the smoothing constant, a variable moving average is able to adjust its sensitivity, allowing it to perform better in both types of markets. I use a ratio of the VHF indicator compared to the VHF indicator 12 periods ago. The variable moving average was defined by Tushar Chande in an article that appeared in Technical Analysis of Stocks and Commodities in March, 1992. Weighted A weighted moving average is designed to put more weight on recent data and less weight on past data.