Double Exponential Moving Average (DEMA) - Indicator Formula


The double exponential moving average can give traders a view of the long-term trend and because it is more sensitive it is a faster-moving average with less lag time. This can also enable traders to spot reversals quicker.


The double exponential moving average can help identify trend direction, signal potential short-term trend changes or pullbacks, and provide dynamic support or resistance.


Calculation:


DEMA( n ) = ( 2 * EMA( n ) ) - ( EMA( EMA( n ) ) )


DEMA.png

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