Hull Moving Average (HMA)

LearnOct 23, 2025
Timothy Cahill
Hull Moving Average (HMA)

What is the Hull Moving Average (HMA) Indicator?

The Hull Moving Average (HMA) is a moving average built by Alan Hull to track trend direction with less lag than traditional averages — without looking like a jagged mess on your chart.

It plots as a single line directly over price. Unlike a standard SMA or EMA, it hugs price more tightly without sacrificing smoothness.

Traders read it two ways:

  • Slope: rising HMA = bullish pressure. Falling HMA = bearish pressure.
  • Price interaction: the line acts as dynamic support or resistance, like any moving average — but with cleaner reactions and fewer false touches.

How is the Hull Moving Average (HMA) Indicator Calculated?

The HMA stacks two weighted moving averages (WMAs) and runs the result through a square-root smoothing step. The formula:

HMA(n) = WMA(2 × WMA(n/2) − WMA(n), √n)

Where:

  • n = lookback period
  • WMA(n/2) = weighted moving average over half the period
  • √n = final smoothing length (rounded to whole bars)

The default input is n = 16 periods, applied to closing price.

The three-step build:

  1. Compute WMA(n/2) and WMA(n).
  2. Form the "speed" series: 2 × WMA(n/2) − WMA(n).
  3. Apply WMA(√n) to that series — that's your final HMA line.

🔥 Pro Tip: You don't need to memorize the math. Every platform — TradingView, ThinkorSwim, NinjaTrader — calculates it for you. What you need to know is what it's measuring: short-term momentum smoothed against medium-term momentum. That's why it reacts faster than a standard EMA without turning into noise.

How to Use the Hull Moving Average (HMA) Indicator in Trading?

The HMA works as both a trend filter and a trigger line — trade with the slope, and use price crosses or fast/slow crossovers to time your entries and exits.

A rising HMA confirms sustained buying pressure. A falling HMA confirms sustained selling pressure.

The HMA tells you trend pressure — it doesn't tell you context. Pair it with the rest of your playbook.

Four Ways to Use the HMA

  • Trend filter: Long when price is above the HMA and the HMA is rising. Short when price is below and the HMA is falling. No counter-trend exceptions.
  • Price cross trigger: A close back above the HMA after a pullback = trend continuation. A close below it = breakdown or exit pressure.
  • Dual-HMA crossover: Run a fast HMA and a slow HMA together. Fast crosses above slow = long signal. Fast crosses below slow = exit or short.
  • Stops and invalidation: Place your stop beyond the most recent swing low/high — or beyond the HMA after a clean break. A decisive cross means momentum flipped and your setup is done.

⚠️ Warning: The HMA's reduced lag cuts both ways. It signals faster, which means it whipsaws faster in chop. Trade it in sideways markets or low-volume sessions and you'll get sliced apart. Use it in trending instruments and during the meat of the session.

📌 Key Takeaway: The HMA is a faster, cleaner read on trend pressure. Treat it as one tool in your playbook.

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