TickAtlas
trend 10 min read Updated 2026-03-21

Double Exponential Moving Average (DEMA)

DEMA reduces lag by applying double exponential smoothing. Faster than SMA but smoother than raw price, it sits between EMA and TEMA in responsiveness.

TL;DR

  • DEMA is a trend indicator used in technical analysis
  • Similar to EMA but with reduced lag. Price above DEMA is bullish, below is bearish.
  • Best timeframes: M15, H1, H4
  • Skip to API docs →

What is Double Exponential Moving Average?

DEMA reduces lag by applying double exponential smoothing. Faster than SMA but smoother than raw price, it sits between EMA and TEMA in responsiveness.

How DEMA is Calculated

formula
DEMA = 2×EMA1 - EMA2

EMA1 = EMA(price, period)
EMA2 = EMA(EMA1, period)

Default period: 20

How to Interpret DEMA

Similar to EMA but with reduced lag. Price above DEMA is bullish, below is bearish.

Trading Strategies Using DEMA

Strategy 1: DEMA Crossover

Use DEMA crossovers for faster trend change detection.

Entry Rules

Buy when fast DEMA crosses above slow DEMA.

Exit Rules

Exit on reverse crossover.

Combining DEMA with Other Indicators

DEMA works best when combined with complementary indicators:

  • DEMA + TEMA: Combine for stronger confluence signals
  • DEMA + EMA: Combine for stronger confluence signals
  • DEMA + SMA: Combine for stronger confluence signals

DEMA Across Different Timeframes

DEMA works across all 7 timeframes but performs best on M15, H1, H4 for most trading styles.

M15 H1 H4

Learn about all 7 timeframes →

Accessing DEMA via TickAtlas API

GET https://tickatlas.com/v1/indicator

Python Example

python
import requests

url = "https://tickatlas.com/v1/indicator"
headers = {"X-API-Key": "YOUR_API_KEY"}
params = {
  "symbol": "EURUSD",
  "indicator": "DEMA_20",
  "timeframe": "H1"
}

response = requests.get(url, headers=headers, params=params)
data = response.json()
print(data)

Sample Response

200 OK
{
  "symbol": "EURUSD",
  "indicator": "DEMA_20",
  "timeframe": "H1",
  "timestamp": "2026-03-21T14:00:00Z",
  "value": 58.43,
  "signal": "neutral"
}

Common Mistakes to Avoid

  1. 1

    Overfitting by using DEMA to chase every small price movement

  2. 2

    Not combining with a trend strength indicator like ADX

Frequently Asked Questions

What is the difference between DEMA and TEMA?

DEMA applies double smoothing for moderate lag reduction, while TEMA applies triple smoothing for even less lag. TEMA is more responsive but potentially noisier.

Continue learning

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