EMA

EMA is an exponential moving average that gives more weight to recent closing prices.

What this is

The ema filter returns the EMA price itself and compares that line with the numeric value in the rule. It does not compare current price with EMA. Use price_vs_ema_pct when the intended condition is price above, below, or crossing EMA.

When to use it

Use raw EMA when the moving average itself must be above or below a known market level. Use the price-versus-EMA filter for trend bias, pullbacks, and price crossings.

Before you start

- Default parameter is period: 20 .

- Available operators are above and below .

- The value is a fixed quote-price threshold.

- EMA reacts faster to recent changes than SMA with the same period, but still lags price.

Step by step

Step 1: Choose the timeframe

The timeframe determines which closing-price series feeds the EMA. Higher timeframes produce slower context.

Step 2: Set the period

A shorter period follows recent price more closely. A longer period is smoother and slower.

Step 3: Set the fixed level

Choose above or below and enter the price level against which the EMA line should be checked. Reconsider this filter if the level will become obsolete as the market moves.

What you should see

EMA above 65000 passes when the calculated EMA is greater than 65000 . It says nothing directly about whether the current close is above that EMA.

Common mistakes

- assuming the raw EMA rule means price above EMA

- reusing a fixed price threshold after the market regime changes

- choosing a short period only to improve one backtest

- treating EMA as a leading indicator

Related articles

- Filters Reference

- SMA

- Price Versus Moving Averages

- EMA Crossover