Triple Exponential MA (TEMA) Technical Analysis and TEMA Signals
Developed by Patrick Mulloy.
This indicator was originally used for technical analysis in the Stock exchange and Commodities market before being used in gold analysis.
This a trend following indicator, it was intended to lessen lag of the original exponential moving average.
The calculation is based on three EMAs:
- a single EMA
- a double EMA and
- a triple EMA
The 3 EMAs when combined produce a lesser amount of lag than any of the three EMAs.
Technical Analysis & How to Generate Signals
The TEMA technical indicator can be traded in the same way as the original moving averages
The most popular technical analysis technique of generating trading signals is to compare the moving average line and the price action of the xauusd.
- A buy signal is generated when both the price & the indicator are moving upward while
- A sell signal is generated when the price & the indicator are both heading downwards.
Buy Sell Signal
XAUUSD Cross Over Gold System
Another popular technical analysis technique of TEMA is the cross-over system.
The TEMA cross-over system includes 2 or more triple exponential moving averages crossing above/below each other to generate signals. One indicator has fewer periods than the other. This system will also include combining it with other indicators as additional entry confirmation signals
XAUUSD Cross Over System