EMA's are used by many traders to read the direction/trend of the market! EMA's are essentially Moving Averages (MA's) that use recent price history to then calculate a "weighted" average price. These Averages are displayed as EMA lines which were converted into a cloud. This cloud was then developed with more logic and conditions in order to create a stronger more effective Indicator. Since the cloud has many EMA lines built into it this indicator is very powerful and can be very versatile.