Suppose you are given the following information on the S&P 500:

Date Close

12/27/2007 ...........1,476.27

12/28/2007 ...........1,478.49

12/31/2007 ...........1,468.36

1/2/2008 ............1,447.16

1/3/2008 ............1,447.16

1/4/2008 ............1,411.63

1/7/2008 ............1,416.18

1/8/2008 ............1,390.19

1/9/2008 ............1,409.13

1/10/2008 .............1,420.33

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 January 10, 2008, was above the three-day moving average, would it be a buy or sell signal?