MACD - Moving Average Convergence / Divergence indicator
The MACD consists with difference 9-day exponential moving average (EMA), 26-day exponential moving average and 12-day exponential moving average.
The MACD indicator moves between -100 and 0 and 100.
the MACD signals :
If the two lines of the MACD is above the center line , this indicates higher peaks and higher of the rate of soil formation. As long as the two lines show an upward movement, the uptrend remains intact and active investors can open buy. In contrast, a declining MACD is the course itself in a downtrend.
An upward component (crossing) of the MACD, after a downward motion provides a signal to sell. A sales signal is obtained if the MACD MT4 of an upward direction turn down and makes a negative crossing. In a sell signal should, after a while the two lines - if it is above the crossing of the center line - below the center line to drop. A buy signal is reversed.
MACD calculation
MACD = EMA 12-day - 26 day EMA
Second line / 'trigger line' = 9 day EMA of the MACD
Signals from the MACD should not be underestimated and are very reliable.
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