^&* 8. Moving Averages (LO4, CFA1) Suppose you are given the following information on the S&P 500:

Date Close 4/1/2019 2,867.19 4/2/2019 2,867.24 4/3/2019 2,873.40 4/4/2019 2,879.39 4/5/2019 2,892.74 4/8/2019 2,895.77 4/9/2019 2,878.20 4/10/2019 2,888.21 4/11/2019 2,888.32 4/12/2019 2,907.41 Calculate the simple three-day moving average for the S&P 500 and the exponential three-day moving average where two-thirds of the weight is placed on the most recent close. Why would you want to know the moving average for an index? If the close on April 12, 2019, was below the three-day moving average, would it be a buy or sell signal?