---
title: '200 Day Moving Average'
url: 'https://www.wavealert.app/en/features/200-day-moving-average'
markdown: 'https://www.wavealert.app/en/features/200-day-moving-average.md'
date: '2026-01-14'
description: '200-day moving average (SMA200) explained simply: meaning, trend signals, and examples. Plus alerts when the line is crossed. Spot trend reversals early.'
---

# 200-Day Moving Average (SMA200): Meaning, Signals – with Alerts by Wavealert

The **200-day moving average** (also known as **SMA200**) is one of the most important trend indicators in technical analysis. It smooths short-term price fluctuations and shows the **long-term trend** based on the last **200 trading days**.

## Why the 200-day moving average matters

Looking at the SMA200 helps you quickly assess whether an asset shows long-term strength or weakness:

- **Price above the 200-day moving average:** often indicates a stable uptrend
- **Price below the line:** may point to a long-term downtrend
- **Strong deviations:** can highlight interesting entry or exit zones

Combined with the **50-day moving average (SMA50)**, you get a clear view of both short- and long-term market dynamics.

## Display trend lines directly in the chart

In the detail view of each asset, you can display both trend lines – **50-day** and **200-day** – with a single click. This allows you to instantly see:

- how an asset develops over the long term
- which trend zones are currently being tested
- whether the lines act as support or resistance

![Chart showing the 50-day and 200-day moving average in the Wavealert asset view](https://www.wavealert.app/assets/landingpage/en/webp/laptop-chart@2x.webp)## Alerts when the 50-day or 200-day moving average is crossed

Wavealert automatically notifies you when an asset **moves above or below** either of the two moving averages.

Benefits:

- no need to constantly monitor prices yourself
- never miss important market movements
- reliably automate rule-based strategies

**Example:**
You hold an ETF in your watchlist and only want to act once the long-term trend turns positive. By setting up an alert, you automatically receive an email with price data, relevant news, and your personal notes for that asset.

![Settings for KPI alerts for the 50- and 200-day lines](https://www.wavealert.app/assets/helppage/en/create_alert_6-f5f77f33f1ab0d9ad6aa43ec526bb063a8bb864fb2f481fe6c10b474e35e51b8.webp)## Frequently asked questions about the 200-day moving average

**What is the 200-day moving average (SMA200)?**
The 200-day moving average is the **average price over the last 200 trading days**. It is commonly used as a **long-term trend filter** in technical analysis.

**What does price above or below the 200-day moving average mean?**
When price trades **above** the SMA200, it is often interpreted as long-term strength. Trading **below** it is commonly seen as long-term weakness. Signals are more reliable when price stays above or below the line for several days.

**Why is the 200-day moving average important?**
Because many market participants watch it closely. The SMA200 helps quickly classify the **long-term trend** and often acts as a key **support or resistance zone** in price charts.

**What is the difference between the 50-day and 200-day moving average?**
The **50-day moving average (SMA50)** reacts faster and reflects short- to mid-term price movements. The **200-day moving average (SMA200)** reacts more slowly and represents the long-term trend. Used together, they provide a solid overview of momentum versus overall direction.

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## Perfect combinations with other features

- **[Stock Watchlist](https://www.wavealert.app/en/features/portfolio-tracker/stock-watchlist)** – monitor stocks and compare trends
- **[ETFs & ETCs](https://www.wavealert.app/en/features/portfolio-tracker/etfs-etcs-funds)** – track long-term signals in index funds
- **[Cryptocurrencies](https://www.wavealert.app/en/features/portfolio-tracker/cryptocurrencies)** – apply trendline alerts to crypto
- **[Community Alerts](https://www.wavealert.app/en/features/community-alerts)** – discover signals that other users are watching
- **[Chart Alerts](https://www.wavealert.app/en/features/chart-alerts)** – full range of alerts for all assets
- **[News Analysis](https://www.wavealert.app/en/features/news-analysis)** – read relevant news behind major moves
- **[Asset Notes](https://www.wavealert.app/en/features/notes)** – document your strategy for each asset

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---

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