What does the MACD indicator mean in forex investment

MACD was proposed by Geral Appel in 1979 and is known as the Exponential Smoothing Convergence Divergence Moving Flat** developed from the Double Moving Flat**, which is derived from the fast Moving Flat minus the slow Moving Flat**, the meaning of MACD is basically the same as the Double Moving Flat, but it is more convenient to read. When the MACD changes at a large angle, the gap between the fast moving flat and the slow moving flat ** opens up very quickly, representing a shift in the general trend of the market. When the MACD turns from negative to positive, it is a signal to buy.

When the MACD turns from positive to negative, it is a signal to sell.

I have used, Xingyalong trend tracking trading system network to share simply, MACD is a technical tool developed according to the advantages of the mobile level, absorbing the advantages of the mobile level. The use of moving charts to judge the timing of buying and selling is very effective when the trend is obvious, but if it encounters a consolidation, the signals sent are frequent and inaccurate. According to the principle of mobile flat development of MACD, one is to remove the frequent false signal defects of mobile flat, and the other is to ensure the maximum result of mobile flat.

Application principle: 1) MACD golden cross: DIF breaks through DEM from bottom to top, which is the best signal.

2) MACD death fork: DIF breaks through DEM from top to bottom, which is a sell signal.

3) MACD green to red: MACD value from negative to positive, the market from short to long.

4) MACD red to green: MACD value changes from positive to negative, and the market turns from long to short.

The MACD is a technical indicator known as the Similarities & Differences Moving Flat. The simple understanding is that the MACD indicator changes from negative to positive, and this is the time to **. When the MACD indicator changes from positive to negative, it is possible to sell at this time.

If the MACD indicator and its amplitude change, it means that there is a large trend shift at present.

Encyclopedia: What is MACD in Encyclopedia? How to use it?

What does the MACD line mean?

One. What is MACD.

First of all, let's talk about what is the MACD indicator? The MACD indicator is an indicator used to indicate the movement of a ** ticket. It is made up of two threads, one and a good one for a long time and one for a short time.

If it is said that a short line crosses a long line, then it is a golden cross and a ** signal. If it is said that a short line crosses the line for a long time, then it is a sell signal. But this is only a basic explanation of his use, and there is uncertainty about the actual effect of the usage.

Two. How to use MACD.

MACD has a good usage in the long-term trend. It is to look at the MACD's top divergence and bottom divergence. The top divergence is that the stock price has been going up, but the MACD line is going down, so it often indicates that the stock price may rise higher, and it may be ** later.

The bottom divergence on the reverse is that the stock price has been going down, but the current car of MACD is going up, so what about this, it indicates that the stock price may be ** behind, and it has fallen almost. <>

Three. The big guy basically doesn't use it.

But the MACD is a thing that the big guys basically don't use, and only some novices will go to see this kind of thing. First of all, let's talk about the big guy macd because it has a lag, so it basically does not have any role for doing **. Then let's talk about the long-term bosses, some of the long-term good ones are basically doing value investment.

So when it comes to value investing, it's mainly about some changes in the company's fundamentals, and what about technical things like MACD, they don't really pay much attention to. Therefore, the MACD technical indicator is a very chicken thing, and basically only novices will use it.

After reading it, remember to like + follow + collect.

Specifically, it refers to the image map, if he says that the higher the indicator, then the trend of the intention chart will be better and better, then you will make money if you are hungry for the return of the stock holder, and if the trend chart is not good, then you will lose money.

The meaning of the MACD indicator is to judge the trend of **** and ** accordingly, which is also a method of judgment.

It is calculated according to the smoothing of two different indices, that is, the basic value of ** can be known.

MACD is called the Similarity and Difference Moving Level, which is mainly used to judge the medium and long-term trend of the general trend. When the stock price is in an intraday or the index is not fluctuating, the buy and sell signals sent by the MACD are not very obvious, and when the stock price fluctuates up and down in a short period of time, because the MACD moves quite slowly, it will not immediately generate a buy and sell signal on the change in the stock price.

MACD is the most effective and commonly used method of escaping the top. In actual investment, MACD is an indicator that not only has the functions of ** (divergence is the bottom), but also captures the extremely strong ** point (MACD turns red twice in a row), and captures the "end point of the wash" (up and down divergence**).

Due to the fast, convenient, fast information dissemination, and convenience brought by auxiliary software analysis, more and more investors prefer technical analysis, and in technical indicators, KDJ and MACD are used by the majority of investors.

Most non-professional investors feel that the buy and sell signals sent by the KDJ indicator are too frequent and have a high probability of error, and ordinary investors often do not apply this judgment indicator. Compared to KDJ, the MACD indicator is relatively simple to use and has less chance of error. Especially in judging long-term trends, the MACD indicator with a long period of time is more accurate.

**MACD indicator is exponential smoothing, similarities and differences, cherry blossom manuscript flat**.

MACD indicator, also known as exponential smoothing, belongs to the general trend trend indicator, which is composed of five parts: long-term MACD, short-term line DIF, red energy column (long), green energy column (short), and O axis (long-short dividing line).

It is a signal that uses the short-term DIF to cross over with the long-term line MACD. The MACD indicator produces a sluggish crossover signal, but it is more effective to use it as a trading strategy.

How to apply the MACD indicator:

The basic pattern, in MACD, is a bearish market when the white line is below the yellow line, and when the white line is above the yellow line, it is a bullish market. When the yellow and white line is below the zero axis, it is a weak market, and when the yellow and white line is above the zero axis, it is a strong market.

This is very easy to understand, the white line is below the yellow line, indicating that the DIF is declining faster than the EDA, that is to say, in the short term, the strength of ** is still very weak, the strength of selling is strong, and vice versa. The yellow and white lines of the spine are below the zero axis, indicating that the short-term market cost has not exceeded the long-term market cost, and it cannot be regarded as strong. <>

The MACD indicator can also be called the similarity and difference moving level**, and the general MACD indicator is used to judge the timing and signal of buying and selling. If the MACD indicator turns from negative to positive, it is a signal to buy. When the MACD indicator changes from positive to negative, it is a signal to sell.

When there is a large angle change in the MACD, and the gap between the fast moving flat and the slow moving flat ** is quickly widened, it means that the market will have a big change.

Extended Materials. 1. MACD, also known as the similarity and difference moving level, is developed from the double exponential moving level. Subtract the fast exponential moving average (EMA26) from the slow exponential moving average (EMA12) to get the fast line DIF, and then get the MACD column with 2 (9-day weighted moving average DEA of the fast line DIF-DIF).

The meaning of MACD is basically the same as that of the double moving flat**, that is, the dispersion and aggregation of the fast and slow moving flat** represent the current long and short states and possible stock price development trends, but it is easier to read. The change in the MACD represents the change in the market trend, and the MACD at different levels represents the buying and selling trend of the current level cycle.

2. In the application, the MACD should first calculate the fast-moving level** (usually 12 days) and the slow-moving level** (usually 26 days). These two values are used as the basis for measuring the "difference" between them (fast and slow). The so-called "difference" (DIF) is the 12-day value minus the 26-day value.

Therefore, in a sustained uptrend, the 12th ** is higher than the 26th**. The positive deviation value (+dif) will become larger and larger. Conversely, in a downtrend, the deviation value may become negative (-dif), when the absolute value is getting larger and larger.

For the market to start reversing, the positive or negative deviation should be reduced to a certain extent, which is indeed a signal of a market reversal. The inverse signal of the MACD is defined as the 9-day moving level** (9-day DIF) of the "deviation value".

3. Due to the fast and convenient online trading, the rapid dissemination of information and the convenience brought by software analysis, more and more investors tend to be bored with technical analysis. Among the technical indicators, KDJ and MACD are widely used by investors. Most non-professional investors believe that the KDJ index sends too many buy and sell signals and has a high probability of error, so ordinary investors are often not suitable for judging the index.

Compared to KDJ, the MACD indicator is relatively simple to use and has a smaller probability of error. Especially when it comes to judging long-term trends, the long-term** MACD index has higher accuracy.

Many new investors should know that there is a technical indicator called MACD, so what is MACD?How should it be used?Next, let's talk about this MACD together.

One. What is MACD.

First of all, let's talk about what a MACD isJust like what I just said, MACD is a technical indicator, this technical indicator is a person who did ** before, he is a technical indicator created after statistics, and if you operate according to the buy and sell signals in it, you can basically make a profit. Because after a large number of data statistics, it can indeed maintain a relatively stable income all year round.

But there are very few people who can do it, but there are some masters who don't mind doing it, and some novices who don't know how to do it. <>

Two. How MACD works.

MACD, if it is said according to the buying and selling point. Usually the inside is the golden cross of the MACD, which is the Ma Yun point, and the death fork of the MACD is a selling point. Sometimes it happens often and often, and you can also follow it with you.

Another function is that MACD you can look at the top divergence or the bottom divergence. When he has a top divergence, then that's when we should be out of the stocking hall, and when he has a bottom divergence, that's when we should be in. <>

Three. Combined.

However, MACD often has a lag, so MACD is an indicator that is only suitable for using some long-term holdings, and it is actually not suitable for you to do short-term. If you want to use MACD to make a profit, then basically your holding time may be greater than a month, then long-term like this will be more likely to make a profit, if you just want to take a day 2 3 days a week, then in this case you use MACD is basically not effective.

After reading it, remember to like + follow + collect.

The MACD indicator is the Moving Average of Similarities and Differences Ruler Lead Line Indicator, which is a ** indicator. You can use this indicator to enter the stool line for reference, and you can also analyze the market through this indicator and analyze the changes in the market.

The width of the bridge refers to the situation of flat ** moving, and you can also understand the composition of the flat **, and you can also judge ****. You can understand the trend of **, or grasp the bright situation of ** trading situation, and you can also understand the data elimination situation.

It is a default indicator, the general movement rate is relatively high, and then refers to the **change crack ticket in a short period of time of moving flat**, in the process, must be added technical analysis tools, Zhenzi should also understand the recent moving average value, judge the best nuclear travel closing time.