Problem 5-09

Assume the following daily closings for the Dow Jones Industrial Average:

Day	DJIA		Day	DJIA
1	13,035		7	13,250
2	13,130		8	13,100
3	13,170		9	13,220
4	13,100		10	13,290
5	13,095		11	13,240
6	13,130		12	13,310

1. Calculate a four-day moving average for Days 4 through 12. Round your answers to two decimal places.

   Day	Moving average
   4
   5
   6
   7
   8
   9
   10
   11
   12

2. Assume that the index on Day 13 closes at 13,290. Would this signal a buy or sell decision?

   This would signal a -Select-buysellItem 10 decision.