Average Price (AVGPRICE)
The simple average of the Open, High, Low, and Close prices for a given period.
Usage
Use as a smoothed price input for other indicators. It provides a more balanced view of the period's price action than the Close price alone.
Background
Average Price is the arithmetic mean of the four key price points in a bar. In technical analysis, using Average Price instead of Close can help filter out erratic price spikes and provide a more stable foundation for trend-following algorithms. — TA-Lib Documentation
Formula
\[
AVGPRICE = \frac{Open + High + Low + Close}{4}
\]