The compilation context is basically just a fancy term for grouping of the files that TypeScript will parse and analyze to determine what is valid and what isn’t.
Along with the information about which files, the compilation context contains information about which compiler options are in use.
A great way to define this logical grouping
(we also like to use the tern project) is using a tsconfig.json file.
TS ⇒ TypeScript Compiler(Compilation Context) ⇒ JS