🧲 Do you want to catch big movements before they happen?
Then you need to understand the MACD indicator 🔥
👉 Because it reveals the hidden momentum that most traders do not see!
Welcome back to the series:
"Understand indicators like a pro" 🔍
And today we have: MACD Indicator (Moving Averages Convergence Divergence)
📌 What is MACD?
MACD is an indicator that combines momentum and trend.
It shows the relationship between two exponential moving averages (usually EMA 12 and EMA 26).
It consists of:
MACD Line
Signal Line (EMA 9)
Histogram = visually shows the strength of momentum 📶
📈 How to use it:
✅ MACD line crossover with the signal line:
Bullish crossover = 🟢 Positive momentum
Bearish crossover = 🔴 Negative momentum
✅ Crossing with the zero line:
MACD crossover above zero = Beginning of an uptrend
Crossover below zero = Beginning of a downtrend
✅ Histogram expansion:
Increase in columns = Momentum increases in strength
Decrease in columns = Momentum weakens (potential reversal)
🧠 Professional tips:
Use MACD on larger time frames (1H, 4H, Daily) for higher reliability
Combine it with RSI or support/resistance areas to avoid false signals
The strongest signals come when a crossover occurs + price breakout 🚀
📌 Next episode: Bollinger Bands - Profit from volatility like a pro 🎢💥
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