Exponential moving average ribbons show trend direction and momentum shifts, helping commodity traders spot entries, exits, and potential reversals faster.
The moving average exponential ribbon technical indicator is simply numerous exponential moving averages of increasing time period plotted on the same graph.
This guide explains what the moving average exponential ribbon (also called exponential moving average ribbon or EMA ribbon) is and how to recognize and interpret it with the help of example charts and trades.
What is an EMA Ribbon?
An exponential moving average ribbon is a series of moving averages of different lengths plotted on the same chart.
The number of exponential moving averages to plot varies immensely among users of this indicator but is usually between 6 and 16. Also, some users plot the simple moving average instead of the EMA.
Likewise, the lengths of the moving averages vary wildly. One must factor in the time horizon and investment objectives when selecting the lengths for the moving averages.
EMA Ribbon Example Chart and Trade
In this chart of the E-mini S&P 500 Futures contract, eight EMA’s were selected, starting with the 10-day EMA and ending with the 80-day EMA.
Potential Buy Signal
A trader may interpret a buy signal as he/she would with other moving average crossovers – the faster moving average crossing over the slower moving average.
The difference is that there are numerous crossovers. Decisions must be made as to how many crossovers must occur before a buy signal is officially triggered.
Here is a close-up of the potential buy signal crossovers:
Potential Sell Signal
Similarly, a possible sell signal is given for the exponential moving average ribbons when the moving averages begin to crossover.
However, determining how many crossovers must occur before a sell signal is officially triggered is up to the stock, futures, or forex trader.
Where to Trade Commodities Using Technical Analysis
Further Reading on Trend Indicators
These trend tools complement Exponential Ribbons: Andrew’s Pitchfork, Keltner Channel, and Typical Price Moving Average.
Technical analysis is most widely used in CFD and forex trading. If you’re ready to apply these techniques, browse our vetted CFD brokers or forex brokers.
Update history
This page was revised 4 times between August 2020 and April 2026.
Added broker recommendation section with links to vetted CFD and forex providers in Further Reading.
Removed broker directory and related trading platform content, replaced with focused reading list on complementary trend indicators.
Added introduction and table of contents, reorganized content into clearer sections with proper headings, expanded definitions with specific EMA counts, corrected grammar throughout, and replaced outdated broker section with updated regulatory framework.
Reorganized content structure by adding section headings for buy/sell signals and trading section, and moved introductory paragraphs to precede the chart reference.
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