Moving Average Convergence Divergence (MACD)
Purpose:
Components:
How to Use:
- AAdd the MACD indicator to your chart.
- For a buy signal, look for the MACD line to cross above the Signal line.
- For a sell signal, look for the MACD line to cross below the Signal line.
- Observe the Histogram for changes in momentum.
Identify changes in the strength, direction, momentum, and duration of a trend.
MACD line, Signal line, and Histogram