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WHAT IS MACD

Moving Average Convergence and Divergence (MACD) is a technical indicator that measures the convergence and divergence of moving averages. If you’ve already read our article on Moving Averages, you’ll recognize these words.

The Moving Average Convergence and Divergence (MACD) shall be referred to as MACD from here on. The goal of this post is to explain the MACD so that you can read and apply it.

HOW MACD CALCULATED

By subtracting the 26-period exponential moving average (EMA) from the 12-period EMA, the MACD is calculated. The “signal line,” a nine-day EMA of the MACD, is then placed on top of the MACD line, which can act as a trigger for buy and sell signals.

MACD CRYPTO SETTING

The macd indicator is based on the standard of 12- and 26-period moving averages. These options are never altered, and it’s better to leave them alone. Remember that indicators operate best when the majority of individuals see the same signals. As a result, it’s best to keep the bitcoin MACD crypto settings between 12 and 26 at all times.

This implies that each MACD you see looks the same. The Binance MACD is identical to the Kraken MACD, while the Ethereum MACD is identical to the Amazon stock MACD.

HOW TO USE MACD

When the MACD crosses above the zero line, buy or close a short trade; when the MACD crosses below the zero line, sell or close a long position. Because of the delayed nature of this strategy, it should be utilized with caution in quick, turbulent markets, when the signals are sometimes delivered too late.

HOW TO READ MACD

The indicator is deemed bullish when the macd line crosses from below to above the signal line. The signal becomes stronger as it descends below the zero line. The indicator is deemed bearish when the MACD line crosses from above to below the signal line. The signal becomes stronger as it rises over the zero line.

HOW TO USE MACD INDICATOR

The indicator is deemed bullish when the MACD line crosses over the signal line from below. The stronger the signal, the lower it goes below zero. The indicator is deemed bearish if the MACD line crosses from above to below the signal line. The signal gets stronger as it moves over the zero line.

TRADE WITH MACD WITH GOOD CRYPTO

Good Crypto is a mobile crypto trading platform that offers traders the most advanced crypto trading tools available:

Bringing all of your exchange accounts together in one spot, enabling you to trade from anywhere, and displaying any cryptocurrency market you can think of.

All of your trades and activities are consolidated into one tidy portfolio. Performance is tracked over time, and all previous data is gathered.

Inside the app, you’ll find over 20,000 markets on 30 exchanges. By categorizing these markets according to their performance, you’ll be able to identify the most promising coins and tokens and trade them.

Setting up price notifications allows you to take advantage of opportunities as they arise. Advanced alerts, such as new exchange listings, daily market updates, and substantial price fluctuations, are also provided by Good Crypto.

You can go beyond typical exchange order kinds while trading. The application’s design allows you to place an endless number of orders without freezing your balance. When placing an order, you may add a Stop Loss and a Take Profit order at the same time. Even better, by following the trend for as long as feasible, a Trailing Stop order may reward you with far higher earnings.

Good Crypto also includes extensive charting capabilities with a full set of technical indicators, such as MACD, Moving Averages, and RSI.

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