MACD indicator
The MACD (Moving Average Convergence Divergence) is a technical analysis indicator used to identify trends and momentum in a stock or asset's price. It consists of three components:
1. **MACD Line**: Difference between the 12-period and 26-period Exponential Moving Averages (EMA).
2. **Signal Line**: 9-period EMA of the MACD Line.
3. **Histogram**: Difference between the MACD Line and Signal Line.
**How it works**:
- **Bullish signal**: MACD Line crosses above the Signal Line (potential buy).
- **Bearish signal**: MACD Line crosses below the Signal Line (potential sell).
- **Histogram**: Positive values indicate bullish momentum; negative values indicate bearish momentum.
Used for spotting trend changes, momentum, and potential buy/sell signals. Best combined with other indicators for confirmation.
