Triple Exponential Average (TRIX)

Overview

TRIX represents a sophisticated approach to momentum analysis by applying exponential smoothing three times to price data before calculating the percentage rate of change. This triple smoothing process begins with a standard EMA of closing prices, followed by an EMA of that result, and finally a third EMA of the double-smoothed values. The indicator then calculates the one-period percentage change of this triple-smoothed EMA, creating an oscillator that fluctuates around zero with exceptional smoothness and minimal lag despite the heavy smoothing.

First introduced in Technical Analysis of Stocks and Commodities magazine, TRIX offers two significant advantages over traditional momentum oscillators: superior filtration of market noise and the tendency to lead rather than lag price movements. The triple exponential smoothing eliminates minor price fluctuations that can trigger false signals, while the rate-of-change calculation enables TRIX to anticipate turning points by measuring the acceleration and deceleration of the smoothed trend. This combination makes TRIX particularly effective on higher timeframes where its signals, though less frequent, tend to be more reliable.

Interpretation & Trading Signals

Example Usage

Code examples will be available once the Rust implementation is complete.