MACD
Signal-line, zero-line, histogram, and momentum shifts.
MACD
| Concept | Explanation | |---|---| | MACD line | Difference between a faster and slower exponential moving average. | | Signal line | Moving average of the MACD line. | | Histogram | Difference between MACD and its signal line. | | Signal-line crossover | MACD crosses above or below the signal line. | | Zero-line crossover | MACD moves from negative to positive territory or vice versa. | | Histogram reversal | Histogram direction changes, suggesting momentum spread is changing. |
MACD combines trend and momentum, but it remains derived from price. A signal-line crossover in a range can reverse repeatedly.