The following script can be used to build the TEMA indicator referenced in the Feb 1994 edition of Stocks & Commodities magazine. This indicator needs to be applied to a Candlestick chart with the Heikin-Ashi checkbox enabled.

This script also requires Optuma 64bit as it uses features not supported in older version of Optuma / Market Analyst.

Thank you so much for publishing this script, as I am script ignorant :) As an idea/request, is there any way one could post a MACD type indicator with the TEMA plotted vs. an Exponential MA and have the resulting plot in a histogram with a MA option on the histogram? Could the inputs be made as variables? Any help/direction would be most appreciated!

To create a histogram between the TEMA and an EMA of the TEMA use the following:

//TEMA EMA input
$TMA=25;
//Histogram MA input
$HMA=9;
//Calc EMA
EMA1=MA(BARS=$TMA, STYLE=Exponential, CALC=Close);
//Calc TEMA
TEMA1=(3 * EMA1) - (3 * (MA(EMA1, BARS=$TMA, STYLE=Exponential, CALC=Close))) + (MA(MA(EMA1, BARS=$TMA, STYLE=Exponential, CALC=Close), BARS=$TMA, STYLE=Exponential, CALC=Close));
//Calc Histogram and MA of Histogram
Plot1 = TEMA1 - EMA1;
Plot2 = MA(Plot1,BARS=$HMA, CALC=Close);
Plot1.Plotstyle = Histogram;
Plot2.Color = Blue;

You can change the inputs - currently set to 25 period for the TEMA and 9 for the MA of the histogram at the top of the script. Save the script as an indicator in a New Tool View and it will be added to your toolbox:

Copy the above formula and edit the last lines to create a signal rather than a plot. Use this for the histogram crossing above 0:

//TEMA EMA input
$TMA=25;
//Histogram MA input
$HMA=9;
//Calc EMA
EMA1=MA(BARS=$TMA, STYLE=Exponential, CALC=Close);
//Calc TEMA
TEMA1=(3 * EMA1) - (3 * (MA(EMA1, BARS=$TMA, STYLE=Exponential, CALC=Close))) + (MA(MA(EMA1, BARS=$TMA, STYLE=Exponential, CALC=Close), BARS=$TMA, STYLE=Exponential, CALC=Close));
//Calc Histogram and cross of 0
Hist1 = TEMA1 - EMA1;
Hist1 CrossesAbove 0

For the cross below 0 change the last line to CrossesBelow. When the formulas are applied to separate Show Bar tools they will match the histogram tool:

Hello Gentlemen:
Using the same formula as TEMA, but adding another dimension for a quadruple exponential moving average, would the formula below be the answer?