Revolutionary MACD Strategy: Crush the Markets with This Tactic!
The Moving Average Convergence/Divergence indicator is a momentum oscillator primarily used to trade trends. Although it is an oscillator, it is not typically used to identify over bought or oversold conditions. It appears on the chart as two lines which oscillate without boundaries. The crossover of the two lines give trading signals similar to a two moving average system.
MACD crossing above zero is considered bullish, while crossing below zero is bearish. Secondly, when MACD turns up from below zero it is considered bullish. When it turns down from above zero it is considered bearish.
Simple Moving Average (SMA) is a technical indicator used by traders and investors to analyze a stock, index, or other security. It's calculated by adding the closing prices of a stock over a specified period of time and dividing by the number of days. The average is called moving because it's plotted on a chart bar by bar, forming a line that moves along the chart as the average value changes.
SMAs are used to: Identify the trend direction of a security, Smooth price data and technical indicators, and Trigger trading signals.
Seasoned derivatives expert with over 6 years of experience across equities, derivatives, and commodities markets. With a proven track record of successful trading and deep market insights.
All 203 videos by Ankit →