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Moving Averages DO NOT WORK� Unless You Use These 3 Secrets To Unlock Their True Potential!First, calculate the simple moving average for the initial EMA value. An exponential moving average (EMA) has to start somewhere, so a simple moving average is. Click on the indicator icon at the top of the chart. Type �SMA� in the search bar and select �Simple Moving Average.� Step 4: Understand. A simple moving average (SMA) is calculated by adding up the last "X" period's closing prices and then dividing that number by X. Used in forex.