If you’ve tried the DEMA and thought “this is faster, but I want even less lag,” the TEMA indicator for MT4 is exactly where that logic leads. Created by Patrick Mulloy alongside the DEMA in his 1994 paper for Technical Analysis of Stocks & Commodities, the Triple Exponential Moving Average pushes the concept one step further. It applies the EMA formula three times instead of twice, stripping out even more lag and producing the most responsive line in the exponential moving average family.
That speed is both its greatest strength and its biggest risk. Here’s what you need to know before putting it on your charts.
What is the TEMA Indicator?
The Triple Exponential Moving Average is the most aggressive lag-reduction technique within the moving average family. Where the standard EMA applies exponential weighting once and the DEMA applies it twice, the TEMA runs the calculation three layers deep.
The formula looks more complex than the DEMA, but the logic follows the same principle:
TEMA = 3 x EMA(n) – 3 x EMA(EMA(n)) + EMA(EMA(EMA(n)))
Breaking that down: you calculate a regular EMA, then an EMA of that EMA, then an EMA of that second EMA. The formula combines all three layers with specific coefficients that effectively cancel out most of the lag that plagues standard moving averages. The result is a line that turns at trend reversals before any other moving average type of the same period.
Patrick Mulloy’s original motivation was practical. He observed that traders were constantly shrinking their EMA periods to get faster signals, but shorter periods meant more noise. The TEMA achieves the speed of a much shorter EMA while maintaining the smoothing characteristics of a longer one. A 21-period TEMA, for example, responds roughly as quickly as a 10-period EMA but produces a smoother line.
Like the DEMA, the TEMA is not built into MetaTrader 4 by default. You need to install it as a custom indicator, which takes about three minutes. The download link is at the bottom of this page.
How the TEMA Works on MT4
On your chart, the TEMA appears as a single line that tracks price very closely. Plot it alongside a standard EMA and a DEMA of the same period and the difference is immediately visible: the TEMA leads the pack, turning at reversals first, with the DEMA following and the EMA arriving last.
The basic interpretation is the same as any moving average. Price above the TEMA suggests bullish conditions; price below it suggests bearish. The angle and steepness of the TEMA line convey momentum strength. A sharply rising TEMA during an uptrend means buyers are firmly in control.
Where the TEMA diverges from standard moving averages is in its behavior during trend transitions. It will cross price and change direction 2-5 candles before a standard EMA of the same period. That means earlier entries and tighter stop-loss placement. However, the same responsiveness causes the TEMA to react to short-lived price spikes that a slower moving average would simply ignore.
In practice, the TEMA works best when paired with a slower indicator for confirmation. Using the TEMA alone as your sole entry trigger will generate too many false signals, particularly on timeframes below H1 and in pairs that tend to range rather than trend.
Key Features
- Non-repainting: Completed candle values never change after close
- Lowest lag of any moving average type at equivalent period settings
- Works across all timeframes from M1 to Monthly
- Customizable period, applied price, and visual styling
- Ideal as the fast component in a dual-line crossover system
- Lightweight .ex4 file with no noticeable impact on MT4 performance
Best Settings for TEMA Indicator
Because the TEMA is extremely responsive, you need to use longer period values than you would with a standard EMA. A 21-period TEMA behaves similarly in speed to a 10-period EMA, so factor that in when configuring your setup.
| Parameter | Scalping (M1-M5) | Day Trading (M15-H1) | Swing Trading (H4-D1) |
|---|---|---|---|
| Fast TEMA Period | 14 | 21 | 50 |
| Slow Filter (EMA) | 30 EMA | 55 EMA | 100 EMA |
| Applied Price | Close | Close | Close |
I recommend against using two TEMAs together for crossover signals. Both lines move so fast that they cross each other constantly during consolidation, generating an unworkable number of false signals. Instead, pair the TEMA with a standard EMA or even an SMA as the slow line. The speed differential between the two creates cleaner, more meaningful crossover signals.
Recommended starting point: A 21-period TEMA as your fast signal line with a 55-period EMA as your trend filter on the H1 chart. This gives you early entries while keeping the overall trend direction clear.
Pros and Cons
| Pros | Cons |
|---|---|
| Fastest trend response of any moving average type | Most aggressive of all MAs – highest whipsaw risk in ranges |
| Earlier entries mean tighter stop losses and better risk-reward | Not built into MT4 – requires custom indicator installation |
| Non-repainting and suitable for backtesting | Two TEMAs together generate excessive false crossovers |
| Excellent fast-line component in hybrid crossover systems | Requires experience to interpret correctly on lower timeframes |
How to Install TEMA Indicator on MT4
The TEMA is not included in MetaTrader 4’s default indicator set. Here’s how to install it:
Step 1: Download the TEMA .ex4 file from the download section at the bottom of this page.
Step 2: Open your MT4 terminal and click File > Open Data Folder from the top menu.
Step 3: Navigate to MQL4 > Indicators and paste the downloaded TEMA .ex4 file into this folder.
Step 4: Restart MT4, or right-click the Navigator panel and select Refresh to load the new indicator.
Step 5: In the Navigator panel, expand Custom Indicators, find TEMA, and drag it onto your chart. Set the period to 21, choose your preferred line color, and click OK.
For a detailed walkthrough covering the full process, check our guide on how to install custom indicators on MT4.
Trading Strategy Using TEMA Indicator
This strategy uses the TEMA’s speed advantage for early trend entries while relying on a standard EMA as a directional filter. Best suited for H1 and H4 timeframes on trending major pairs.
Setup: Apply a 21-period TEMA (green) and a 55-period EMA (orange) to your chart.
Buy Signal:
1. Price is trading above both the TEMA and the 55 EMA (confirmed uptrend)
2. Price pulls back and touches the 21 TEMA line
3. A bullish candle closes back above the TEMA after touching it
4. The 55 EMA is still sloping upward (trend intact)
5. Enter long at the close of the bullish candle
Sell Signal:
1. Price is trading below both the TEMA and the 55 EMA (confirmed downtrend)
2. Price rallies back up to the 21 TEMA line
3. A bearish candle closes below the TEMA after touching it
4. The 55 EMA is still sloping downward
5. Enter short at the close of the bearish candle
Stop Loss: Place the stop 5-10 pips beyond the 55 EMA at the time of entry.
Take Profit: Target 1.5:1 to 2:1 risk-reward. For trailing stops, exit when price closes beyond the TEMA against your trade direction.
This is a trend-continuation strategy, not a reversal approach. You’re using the TEMA as a dynamic support/resistance level within an established trend identified by the slower EMA. The TEMA’s tight proximity to price means your pullback entries happen sooner, and your stop losses are smaller than they’d be with a standard EMA pullback strategy.
TEMA vs DEMA
Since both indicators were created by the same person in the same paper, this comparison is inevitable:
| Feature | TEMA | DEMA |
|---|---|---|
| Lag | Lowest of all MAs | Low (between TEMA and EMA) |
| Whipsaw Risk | Highest of all MAs | Moderate (between TEMA and EMA) |
| Formula | 3EMA – 3EMA(EMA) + EMA(EMA(EMA)) | 2*EMA – EMA(EMA) |
| Signal Speed | Fastest – turns first at reversals | Fast – turns before EMA but after TEMA |
| Best For | Active traders wanting earliest possible entries | Traders wanting reduced lag without extreme sensitivity |
| Built into MT4 | No | No |
| Paired Best With | Standard EMA or SMA as slow filter | Standard EMA as slow filter |
Verdict: The TEMA is the right choice if you’re an active trader who monitors charts closely and can quickly exit when signals fail. It rewards fast decision-making with the earliest possible entries. The DEMA is better suited for traders who want reduced lag but prefer a bit more smoothing and fewer false signals. Neither is objectively “better” – they serve different trading temperaments.
If you’re not sure which one fits you, try both on a demo account for a week. The difference in signal frequency will make the answer obvious.
Frequently Asked Questions
Is the TEMA indicator free for MT4?
Yes. The TEMA indicator is available as a free custom indicator download for MT4. Since the TEMA is not built into MetaTrader 4 by default, you’ll need to install the .ex4 file into your MQL4/Indicators folder. Download it from the link at the bottom of this page.
Does the TEMA indicator repaint?
No. Once a candle closes, the TEMA value for that bar is locked in permanently. You may see the line adjust on the current unclosed candle, but completed bars never change. This makes the TEMA fully reliable for backtesting.
What is the difference between TEMA and DEMA?
Both were created by Patrick Mulloy in 1994. The DEMA applies the EMA twice using the formula 2EMA – EMA(EMA), while the TEMA applies it three times: 3EMA – 3*EMA(EMA) + EMA(EMA(EMA)). The TEMA has even less lag than the DEMA but is more aggressive and prone to whipsaws in ranging markets.
What is the best TEMA period for day trading?
For day trading on M15 to H1 timeframes, a 21-period TEMA works well as a fast signal line when paired with a 55-period EMA as a trend filter. The TEMA catches reversals early while the EMA prevents you from trading against the broader trend.
Can I use TEMA on MT5?
Yes. Like the DEMA, the TEMA is available as a built-in moving average method in MT5. You can apply it from the standard Indicators menu without installing any custom files. The calculation is identical to the MT4 custom version.
Download TEMA Indicator for MT4 – Free
Our TEMA custom indicator includes features beyond the raw calculation:
- Adjustable period and applied price – full customization for any strategy
- Crossover alerts – popup, email, and push notifications when TEMA crosses a reference line
- Slope color coding – the line changes color based on direction for instant visual trend reads
Platform: MT4 (Build 1000+)
File type: .ex4
File size: 9 KB
Version: 1.2
Last updated: March 2026
Download the TEMA (Triple Exponential Moving Average) Indicator – Free Instant Access
No payment. No catch. Enter your email below and the TEMA (Triple Exponential Moving Average) Indicator file lands in your inbox within 60 seconds. Here’s everything you get:
- The non-repainting TEMA (Triple Exponential Moving Average) Indicator file (.ex4) – install in 30 seconds
- Step-by-step installation guide with chart screenshots
- Best-performing settings for scalping, day trading, and swing trading
- The exact entry and exit rules Dom uses in live trading
- Weekly trading insights from a developer with 16+ years of market experience
100% free forever. Your email is safe – we never sell, share, or spam. Unsubscribe with one click anytime.
By downloading, you agree to receive trading tips and indicator updates from ForexOBroker. Unsubscribe anytime.
Overall Rating: 4.3/5
| Category | Rating |
|---|---|
| Accuracy | 4.2/5 |
| Ease of Use | 3.9/5 |
| Features | 4.4/5 |
| Value | 4.8/5 |
Related Indicators
- DEMA Indicator MT4 – Patrick Mulloy’s double-smoothed variant with less lag than EMA but more than TEMA
- EMA Indicator MT4 – The standard exponential moving average that both DEMA and TEMA build upon
- Moving Average Indicator MT4 – Complete guide to all moving average types in MT4
- Supertrend Indicator MT4 – ATR-based trend follower that provides clear directional signals
- See all Trend Indicators – Browse our complete trend indicator collection
- How to Install Custom Indicators on MT4
Trading forex involves significant risk of loss and is not suitable for all investors. Past performance is not indicative of future results. The indicators provided on ForexOBroker are for educational purposes only. Always use proper risk management and never trade with money you cannot afford to lose.