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MACD (Moving Average Convergence Divergence)

Binary options wiki > Binary options analysis > Technical Analysis > Indicators > MACD (Moving Average Convergence Divergence)

MACD (Moving Average Convergence Divergence) in technical analysis is an indicator that is used to follow trends and find relevant entry and exit points. The Moving Average Convergence Divergence is based on 12 days exponential moving average, 26 days exponential moving average, and a signal line which is an exponential moving average of the subtraction of the 26 days period from the 12 days period exponential moving average. When the MACD histogram is below the zero line and the MACD is above the signal line we have a downtrend. When the MACD histogram is above the zero line and the MACD is above the signal line we have an uptrend.

Moving Average Convergence Divergence



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