T3 (Triple Exponential Moving Average)
Indicator Description
T3 (Triple Exponential Moving Average) is a trend indicator that reduces lag while maintaining sensitivity to trends through triple exponential smoothing.
Function Information
- Function Name: T3
- Input Parameters: #Kline
- Parameter Settings: timeperiod (default: 5), vfactor (default: 0.7)
- Output: T3 value
Calculation Principle
T3 is calculated using the following formulas:
a = vfactor
a2 = a * a
a3 = a2 * a
b = 1 - a
b2 = b * b
b3 = b2 * b
c1 = -a3
c2 = 3 * a2 + 3 * a3
c3 = -6 * a2 - 4 * a3
c4 = 1 + 3 * a + a3 + 3 * a2
T3 = c1 * e6 + c2 * e5 + c3 * e4 + c4 * e3
Where:
- e3, e4, e5, e6 are EMA values for different periods
- vfactor is the volume factor used to adjust the smoothing level
Usage Scenarios
- Trend identification and tracking
- Support and resistance level identification
- Price breakout confirmation
- Trading signal generation
Usage Recommendations
- Adjust parameters based on market volatility
- Use in combination with other technical indicators
- Monitor T3 and price crossovers
- Pay attention to market trend changes