Triple Exponential MA (TEMA) Stocks Analysis and TEMA Stocks Signals

Developed by Patrick Mulloy.

This stocks indicator was originally used for technical analysis in the Stock exchange and Commodities stocks market before being used in stock analysis.

This a stocks trend following indicator, it was intended to lessen lag of the original exponential moving average.

The calculation is based on 3 EMAs:

• a single EMA
• a double EMA and
• a triple EMA

The three EMAs when combined produce a lesser amount of lag than any of the three EMAs.

Stock Technical Analysis & Generating Stocks Signals

The TEMA Stocks indicator can be traded in the same way as the original moving averages

The most popular technical analysis method of generating trading signals is to compare the moving average line and the stocks price action of the stocks.

• A buy signal is generated when both the stocks price and the indicator are moving upward while
• A sell signal is generated when the price and the indicator are both heading downward.

Buy Sell Stocks Signal

Stock Trading Crossover Stocks Strategy

Another popular technical analysis method of TEMA is the cross-over system.

The TEMA crossover system includes 2 or more triple exponential moving averages crossing above/below each other to generate stocks signals. One indicator has fewer periods than the other. This system will also include combining it with other indicators as additional entry confirmation signals

Stock Trading Crossover Stock Strategy