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EMA

Exponential Moving Average — an exponential moving average. Exponential Moving Average (EMA) assigns exponentially decreasing weight to historical data, making it more sensitive to recent prices compared to SMA. Widely used as a trend filter (200 EMA), a dynamic support/resistance level, and a component of other indicators (MACD, Bollinger Bands).

Formula:

k = 2 / (period + 1)
EMA = Close * k + EMA_prev * (1 - k)
ParameterTypeDefaultRange / Values
Periodint2001-200
TriggerDirectionConditionDescription
Price crosses EMA up🟢 BuyPrice crossed EMA from below to above.The closing price rose above the EMA. A classic bullish signal.
Price crosses EMA down🔴 SellPrice crossed EMA from above to below.The closing price fell below the EMA. A classic bearish signal — the start of a downward move relative to the moving average.
Price above EMA🟢 BuyThe closing price is above EMA (bullish context).The closing price is above the exponential moving average on the current bar. This is not a crossover signal — it reflects the current state: a bullish context.
Price below EMA🔴 SellThe closing price is below EMA (bearish context).The closing price is below the exponential moving average.
Price crosses the line up🟢 BuyPrice crossed the indicator line from below to above.The closing price crossed the indicator line from below to above.
Price crosses the line down🔴 SellPrice crossed the indicator line from above to below.The closing price crossed an arbitrary indicator line (MA, Supertrend, etc.) from above to below.
Price above the line🟢 BuyThe closing price is above the indicator line.The closing price is above the indicator line (MA, Supertrend, etc.). Reflects the current position of price relative to the trend line.
Price below the line🔴 SellThe closing price is below the indicator line.The closing price is below the indicator line.