1 thought on “What is the MACD indicator?”

  1. The MACD in the stock is a technical indicator. It is called a differential moving average. It is the rapid and slow and smooth moving average of the stock price for a period of time. It is one of the most commonly used and technical indicators for investors.
    The simple understanding is that the MACD indicator changes from negative numbers to positive numbers. At this time, you can buy it. When the MACD indicator changes from the positive number to the negative number, it can be sold at this time. If the MACD indicators and amplitude changes indicate that the current stock market has a large trend change. MACD is a tool developed based on the advantages of the mobile average. It mainly uses the two smooth average lines of long and short -term to calculate the difference between the two between the two. MACD can remove fake signals often appearing at simple moving average, and retain the advantages of the mobile average. When MACD's negative to the positive number is the signal of buying, when MACD shifts from positive numbers to negative numbers, it is a signal for selling.
    The trending indicators have amazing accuracy when the trend changes, volatile markets, bottoms and top judgments. The columnar line that appears in the area is the red area line, and the columnar lines appearing in the negative MACD area are green columnar lines. The red column -shaped line is a multi -signal. When the red column -shaped line increases, it means that the long market will continue. When the red column -shaped line decreases, it means that the stock price may fall at any time. The green pillar chart is short signal. When the green pillar chart is long, it means that the short market will continue. Conversely, it means that the stock price will stop or bottom out at any time.
    This information: MACD has a zero axis: This is the large joint of this indicator. Look at him at first glance. See if the fast and slow line is above zero axis or zero axis. If below the zero axis, then he is a downward trend. If you are covered, every time the golden fork is a chance to escape. If you buy a rigid board according to the golden fork, you will be completely wrong. If you are in an empty position, you can't go in. If it is above the zero axis, and the zero axis is the time to turn, so below the zero axis is called a rebound, and the zero axis is called reversal. According to the software's self -determined parameters, the zero axis is actually the 20 -day line.

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