The Double Exponential Moving Average (DEMA) is a combination of a single exponential moving average and a double exponential moving average. The advantage is that gives a reduced amount of lag time than either of the two separate moving averages alone.

The Double Exponential Moving Average can be applied in the same manner as the Simple Moving Average or Exponential Moving Average. When price crosses the moving average and increases, a continuing uptrend can be expected.

The DEMA is calculated via:

(2 * n-day EMA) - (n-day EMA of EMA)

where EMA = exponential moving average