High smoothness with less lag than the triangular average.
The short answer
- What is the T3 moving average (T3)?
- T3 moving average: six exponential layers with a volume factor.
- When is T3 wrong?
- The volume factor changes its behavior radically. It needs testing. Its current reading on the platform's symbols, at the latest daily close, is in the "Current reading" table on this page. See its current reading →
Reading now
| Ticker | Value | Five sessions ago | Status |
|---|---|---|---|
| SPY | 777.70 | 769.34 | Price is 0.0% above the line |
| QQQ | 752.03 | 749.41 | Price is 1.1% below the line |
| IWM | 278.31 | 280.04 | Price is 0.6% below the line |
| DIA | 514.18 | 510.64 | Price is 0.4% above the line |
A description of where the number sits against its thresholds. It is not an entry or exit signal.
Indicator limit
The volume factor changes its behavior radically. It needs testing.
Read it with
Average True Range: smooth with less lag, so the stop is set below it at a multiple of ATR.
Answers: does the market have a trend?
What it actually does
The Tillson T3 average stacks six layers of exponential smoothing with a volume factor that balances smoothness against responsiveness. The stated goal: a line that is as smooth as the slow averages and as quick as the short ones. It gets closer to that than any other formula in the family.
Volume factor: its key setting
The factor (0.7 by default) sets how much lag is removed: 0 makes it a plain exponential average, and 1 makes it very sharp, so it overshoots price at turns. Tuning it sets the whole character of the indicator, and it matters more than tuning the window itself.
When to choose it
When the zigzags of fast averages irritate the eye and the lag of slow ones irritates the decision. It is a good choice for a reference trend line drawn directly on price in charts that are read visually.
Hypothetical example
A chart with a 50-period simple average and one of this type over the same window: the second turns four sessions before the first and stays visibly smoother. It combines what looks contradictory in the traditional family.
Where it errs and why
Its six layers make its behavior unintuitive: changing one parameter flips its character, so it is hard to predict without testing. With a high factor it overshoots price and draws turns that never happened.
Read it with
Don't read it alone. First classify the environment with the trend strength indicator to learn whether trend tools or range tools fit. Then confirm with volume, which separates supported moves from empty ones. Then place it on the structural levels from the gamma map, since a signal at a dense wall carries more weight than one in an empty price zone. This three-step order cuts the worst signals before they cost you anything.
Where to see it on the platform
The technical chart in the members area draws it on any symbol and timeframe you choose, and the scanner terminal shows its reading in the symbol card with the rest of its family.
