Moving Average Convergence Divergence
Overview: The oscillator moving average convergence divergence (MACD) is complex in comparison to other oscillators. It consists of three moving averages (MAs) interacting with one another and is focused on the significance of MA crossover. As a means for confirmation of other signals, MACD may be used as one of several oscillators to identify trends as they strengthen or weaken. However, the frequent crossover occurrence may also mislead analysts; MACD, consequently, is appropriate for confirmation of other signals, but rarely can be applied as an initial reversal signal.
The momentum oscillator moving average convergence divergence (MACD) consists of three separate moving averages (MAs). The visual ...
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