diff --git a/extensions/custom_templates/custom_templates.syntax-extension b/extensions/custom_templates/custom_templates.syntax-extension
index 0bc4e82..f6c6d39 100644
--- a/extensions/custom_templates/custom_templates.syntax-extension
+++ b/extensions/custom_templates/custom_templates.syntax-extension
@@ -2,27 +2,47 @@
 %TAG ! tag:yaml-macros:yamlmacros.lib.arguments,yamlmacros.lib.include:
 ---
 contexts:
-  literal-string-template:
+  expression-begin:
     - meta_prepend: true
-    - include: literal-string-template-custom-comments
     - include: literal-string-template-custom-tags
     - include: styled-components
 
-  expression-begin:
-    - meta_prepend: true
-    # Keep the slow backreferences out of this frequently-used context.
     - match: (?=`)
       set:
+        # Keep the slow lookbehinds out of this frequently-used context.
         - include: literal-string-template-custom-comments
-        - include: literal-string-template-custom-lookahead
         - include: custom-templates-default
+        - include: else-pop
 
-  custom-templates-default: !if
-    - !argument default
-    - !with
-        - include: !argument default
-        - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
-    - - include: literal-string-template
+  custom-templates-default:
+    - match: '`'
+      scope: string.quoted.other.js punctuation.definition.string.begin.js
+      push:
+        - - include: immediately-pop
+        - custom-templates-closing-quote
+        - custom-templates-clear-scopes
+        - - meta_include_prototype: false
+          - include: literal-string-template-custom-lookahead
+          - !if
+            - !argument default
+            - match: (?=\s*\S)
+              set: !argument default
+              with_prototype:
+                - include: custom-templates-prototype
+            - match: (?=\s*\S)
+              set:
+                - meta_scope: string.quoted.other.js
+                - meta_include_prototype: false
+                - include: custom-templates-prototype
+
+  literal-string-template-custom-lookahead: !foreach
+    in: !argument [lookaheads, {}]
+    as: [lookahead, include]
+    value:
+      match: !format '(?=\s*(?:{lookahead}))'
+      set: !argument include
+      with_prototype:
+        - include: custom-templates-prototype
 
   literal-string-template-custom-tags: !foreach
     in: !argument [tags, {}]
@@ -30,23 +50,18 @@ contexts:
     value:
       match: !format '(?:{tag})(?=\s*`)'
       scope: variable.function.tagged-template.js
-      set: !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
+      set:
+        - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
+        - include: else-pop
 
   literal-string-template-custom-comments: !foreach
     in: !argument [comments, {}]
     as: [tag, include]
     value:
       match: !format '(?<=/\*(?:{tag})\*/|/\* (?:{tag}) \*/)'
-      scope: variable.function.tagged-template.js
-      set: !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
-
-  literal-string-template-custom-lookahead: !foreach
-    in: !argument [lookaheads, {}]
-    as: [lookahead, include]
-    value:
-      match: !format '(?=`(?:{lookahead}))'
-      scope: variable.function.tagged-template.js
-      set: !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
+      set:
+        - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
+        - include: else-pop
 
   styled-components: !if
     - !argument styled_components
@@ -65,18 +80,16 @@ contexts:
       scope: punctuation.accessor.dot.js
       push: styled-component-begin
 
-    - match: (?=`)
-      set: !with
-        - include: scope:source.js.css
-        - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
+    - !with
+      - include: scope:source.js.css
+      - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
 
     - include: expression-end
 
   styled-component-keyframes-end:
-    - match: (?=`)
-      push: !with
-        - include: scope:source.js.css#at-keyframe-block-content
-        - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
+    - !with
+      - include: scope:source.js.css#at-keyframe-block-content
+      - !include_resource Packages/JSCustom/extensions/custom_templates/template.yaml
     - include: else-pop
 
   styled-component-begin:
@@ -95,3 +108,32 @@ contexts:
       pop: true
 
     - include: else-pop
+
+  custom-templates-closing-quote:
+    - meta_include_prototype: false
+    - meta_scope: meta.string.js string.quoted.other.js
+    - match: "`"
+      scope: punctuation.definition.string.end.js
+      pop: true
+    - include: immediately-pop
+
+  custom-templates-clear-scopes:
+    - meta_include_prototype: false
+    - clear_scopes: !if [!argument clear_all_scopes, true, 1]
+    - include: immediately-pop
+
+  custom-templates-prototype:
+    - match: (?=`)
+      pop: true
+    - match: '\$\{'
+      scope: punctuation.section.interpolation.begin.js
+      push:
+        - clear_scopes: !if [!argument clear_all_scopes, true, 1]
+        - meta_scope: meta.interpolation.js
+        - meta_content_scope: source.js.embedded.expression
+        - match: '\}'
+          scope: punctuation.section.interpolation.end.js
+          pop: true
+        - match: (?=\S)
+          push: expression
+    - include: string-content
diff --git a/extensions/custom_templates/template.yaml b/extensions/custom_templates/template.yaml
index 2d9631e..91db2ea 100644
--- a/extensions/custom_templates/template.yaml
+++ b/extensions/custom_templates/template.yaml
@@ -1,34 +1,14 @@
 %YAML 1.2
 %TAG ! tag:yaml-macros:yamlmacros.lib.arguments:
 ---
-- match: '`'
-  scope: string.quoted.other.js punctuation.definition.string.begin.js
-  push:
-    - - meta_include_prototype: false
-      - meta_scope: meta.string.js string.quoted.other.js
-      - match: "`"
-        scope: punctuation.definition.string.end.js
-        pop: true
-      - include: immediately-pop
-    - - meta_include_prototype: false
-      - clear_scopes: !if [!argument clear_all_scopes, true, 1]
-      - include: immediately-pop
-    - - meta_include_prototype: false
-      - match: ''
-        set: !argument include
-        with_prototype:
-          - match: (?=`)
-            pop: true
-          - match: '\$\{'
-            scope: punctuation.section.interpolation.begin.js
-            push:
-              - clear_scopes: !if [!argument clear_all_scopes, true, 1]
-              - meta_scope: meta.interpolation.js
-              - meta_content_scope: source.js.embedded.expression
-              - match: '\}'
-                scope: punctuation.section.interpolation.end.js
-                pop: true
-              - match: (?=\S)
-                push: expression
-          - include: string-content
-- include: else-pop
+match: '`'
+scope: string.quoted.other.js punctuation.definition.string.begin.js
+push:
+  - - include: immediately-pop
+  - custom-templates-closing-quote
+  - custom-templates-clear-scopes
+  - - meta_include_prototype: false
+    - match: ''
+      set: !argument include
+      with_prototype:
+        - include: custom-templates-prototype
diff --git a/tests/syntax_test_suites/templates/template_default.js b/tests/syntax_test_suites/templates/template_default.js
new file mode 100644
index 0000000..b35ee73
--- /dev/null
+++ b/tests/syntax_test_suites/templates/template_default.js
@@ -0,0 +1,4 @@
+
+    `<foo></foo>`;
+//  ^^^^^^^^^^^^^ meta.string
+//   ^^^^^^^^^^^ text.html.basic - string
diff --git a/tests/syntax_test_suites/templates/templates.js b/tests/syntax_test_suites/templates/templates.js
index 24bf67d..32f3d5d 100644
--- a/tests/syntax_test_suites/templates/templates.js
+++ b/tests/syntax_test_suites/templates/templates.js
@@ -21,6 +21,12 @@
 //  ^^^^^^^^^^^^^^^^^^^^ meta.string
 //  ^ string.quoted.other punctuation.definition.string.begin
 //   ^^^^^^^^^^^^^^^^^^ source.sql - string
+//                     ^ string.quoted.other punctuation.definition.string.end
+
+    `
+     select * from dual`;
+//^^^^^^^^^^^^^^^^^^^^^^ meta.string
+//^^^^^^^^^^^^^^^^^^^^^ source.sql - string
 //                     ^ string.quoted.other punctuation.definition.string.end
 
     /*css*/`a { color: red; }`
@@ -36,6 +42,3 @@
 //  ^^^^^^^^^^^^^^^^^^^^^^ meta.string
 //   ^^^^^^^^^^^^^^^^^^^^ source.css - string
 
-    `<foo></foo>`;
-//  ^^^^^^^^^^^^^ meta.string
-//   ^^^^^^^^^^^ text.html.basic - string
diff --git a/tests/test_syntaxes.py b/tests/test_syntaxes.py
index 59e1dee..9e345ea 100644
--- a/tests/test_syntaxes.py
+++ b/tests/test_syntaxes.py
@@ -90,7 +90,7 @@ def test_flow(self):
             tests=["js", "flow"],
         )
 
-    def test_templates(self):
+    def test_templates_default(self):
         yield from self._test_syntaxes(
             name="templates",
             configuration={
@@ -111,7 +111,30 @@ def test_templates(self):
                 }
             },
             tests=["js", "templates"],
-            exclude=["js.js"]
+            exclude=["js.js"],
+        )
+
+    def test_templates_no_default(self):
+        yield from self._test_syntaxes(
+            name="templates_no_default",
+            configuration={
+                "file_extensions": [],
+                "hidden": True,
+                "custom_templates": {
+                    'tags': {
+                        'css': 'scope:source.css',
+                    },
+                    'comments': {
+                        'css': 'scope:source.css',
+                    },
+                    'lookaheads': {
+                        r'select\b': 'scope:source.sql',
+                    },
+                    'styled_components': True,
+                }
+            },
+            tests=["js", "templates"],
+            exclude=["template_default.js"],
         )
 
     def test_string_object_keys(self):