🔍 Do you know the difference between the MACD line, the signal line, and the histogram?
📊 The MACD is not just intertwined lines... it is one of the most powerful tools for detecting market direction!
✨ Here’s the explanation in simple terms:
➖ MACD Line (fast line)
It is the result of subtracting two moving averages (usually 12 and 26 days), it moves quickly and shows the current market momentum.
➖ Signal Line (slow line)
It is a moving average of the MACD line itself (often 9 days), it helps us detect entry and exit points.
📈 The intersection is the key!
✅ When the MACD line crosses above the signal line → Buy signal.
❌ When it drops below → Sell signal.
📉 And the histogram?
It is simply the difference between the two lines.
🔴 Red bars = weakness in buying
🟢 Green bars = buying momentum or the start of an upswing
---$BTC $BANANAS31 $PEPE
💡 Being a professional does not mean complicating things… but understanding simplicity in depth.
Follow us for more smart analysis and share the post with those who want to master market reading 👇