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docs/indicators/averages/tema/calc.md

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+# The Math Behind TEMA
+
+## Components of TEMA
+
+TEMA is composed of three main components:
+
+1. Exponential Moving Average (EMA)
+2. A "triple smoothing" factor
+
+Let's break these down:
+
+### EMA Calculation
+
+The Exponential Moving Average (EMA) is calculated as:
+
+$ EMA_t = \alpha \cdot P_t + (1 - \alpha) \cdot EMA_{t-1} $
+
+Where:
+- $EMA_t$ is the EMA value at time $t$
+- $P_t$ is the price at time $t$
+- $\alpha$ is the smoothing factor, calculated as $\frac{2}{n+1}$
+- $n$ is the number of periods
+
+### TEMA Formula
+
+The TEMA is then calculated using the following formula:
+
+$ TEMA_t = 3 \cdot EMA_t - 3 \cdot EMA(EMA_t) + EMA(EMA(EMA_t)) $
+
+Where:
+- $TEMA_t$ is the TEMA value at time $t$
+- $EMA_t$ is the EMA of the price
+- $EMA(EMA_t)$ is the EMA of the EMA
+- $EMA(EMA(EMA_t))$ is the EMA of the EMA of the EMA
+
+## Calculation Process
+
+1. Calculate the EMA of the price series (EMA1).
+2. Calculate another EMA on the result of step 1 (EMA2).
+3. Calculate a third EMA on the result of step 2 (EMA3).
+4. Multiply EMA1 by 3.
+5. Multiply EMA2 by 3.
+6. Subtract EMA2 * 3 from EMA1 * 3.
+7. Add EMA3 to the result.
+
+This process effectively reduces lag while maintaining smoothness and attempting to minimize overshooting.
+
+## Parameter
+
+TEMA uses a single parameter:
+
+- **Period** ($n$): Determines the number of periods used in the EMA calculations. This affects the overall reactivity and smoothness of the indicator.