Blog : MACD Indicator

MACD

The MACD is a popular technical analysis indicator used to identify a security's momentum, trend direction, and duration. It combines two different types of indicators: two Moving Averages of varying lengths to identify trend direction and duration, and the difference between these Moving Averages (MACD Line) and an EMA of these averages (Signal Line). This difference is plotted as a histogram oscillating above and below a zero line, providing a good indication of a security's momentum.

MACD Inputs
Fast Length 12
Slow Length 26
Signal Smoothing 9
Source close
Long - Entry Trigger Long - Exit Trigger Short - Entry Trigger Short - Exit Trigger
MACD crossover Signal and MACD > 0 MACD crossunder Signal MACD crossunder Signal and MACD < 0 MACD crossover Signal
Long - Entry Confluence Long - Exit Confluence Short - Entry Confluence Short - Exit Confluence
MACD > Signal and MACD > 0 MACD < Signal MACD < Signal and MACD < 0 MACD > Signal