Welles Wilder's Smoothing
Posted by Mohammad Rahhal, Last modified by Yousef Ibrahim on 04 July 2012 01:45 PM
The Welles Wilder's Smoothing indicator is similar to an exponential moving average. The indicator does not use the standard exponential moving average formula. Welles Wilder described 1/14 of today's data + 13/14 of yesterday's average as a 14-day exponential moving average.
This indicator is used in a the manner that any other moving average would be used.