Price vs. 200-Day Moving Average: formula and how to read it

How far the price sits above its long-term trend. End-of-day close divided by the 200-trading-day simple moving average, minus one.

Stock Meadow groups it under Price trend, and shows it in tables as vs 200-day.

Price vs. 200-day SMA = end-of-day close ÷ 200-trading-day simple moving average − 1

A stock closing at $110 with a 200-day average of $100 is 10% above its long-term trend. The numbers are made up for illustration.

Positive means the price is above its long-term trend, which is usually read as strength. Negative means it is below.

When Stock Meadow ranks stocks, a higher figure scores better.

• Needs at least 200 trading days of prices, so it is blank for recent listings.
• A price far above the average can also be stretched, and may fall back.
• Moving averages lag: they confirm a trend after it has started.

Treat any single metric as one clue, and read the company's financial statements before drawing a conclusion. Stock Meadow's figures are research tools based on reported data, not investment advice.

In Weighted ranking, Z-score composite and Balanced (no weak link), you choose the metrics and weights yourself, so you can include it in a custom score.

No fixed-recipe model scores it.

Read about every scoring model on the scoring models page.

• 50-Day vs. 200-Day Moving Average: whether the recent trend beats the long-term one.
• 12-1 Momentum: last year's return, ignoring the most recent month.
• Relative Strength Index (RSI): recent buying momentum; 50–70 is healthy.

Why do investors watch the 200-day moving average?

It is a widely followed line for the long-term trend. Prices above it are generally read as an uptrend and below it as a downtrend, though it lags and gives false signals.

Is a higher or lower vs 200-day better?

When Stock Meadow ranks stocks, a higher figure scores better. That is a ranking convention, so read vs 200-day alongside other measures and compare similar companies.