π
Indicator
momentum
MACD (Moving Average Convergence Divergence)
FiabilitΓ© :
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Difference between 2 moving averages (12 and 26) with a signal line (EMA 9). Histogram = MACD - Signal.
In detail
Very popular momentum indicator. Bullish crossover (MACD crosses above Signal) = buy signal. Bearish crossover = sell signal. Divergences with price are powerful signals.
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How to trade
Enter on crossover, exit on reverse crossover. Better in trending markets. Combines well with S/R levels.
#momentum
#trend
#classic