How does this template work?

[Robert M. Münch via Digitalmars-d-learn]

How does the observerObject Template and function work? I'm struggling 
because both use the same name and how is the template parameter R 
deduced/where is it coming from? Looks like it's somehow implicitly 
deduced.

class ObserverObject(R, E...){...}

template observerObject(E)
{
   ObserverObject!(R, E) observerObject(R)(R range)
   {
       return new ObserverObject!(R, E)(range);
   }
}

struct TestObserver {...}

auto observer = observerObject!int(TestObserver());


--
Robert M. Münch
http://www.saphirion.com
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