$ARB ｜4-hour MACD｜Death cross above the zero line
What exactly does MACD measure? The zero line is where DIF equals 0, meaning the 12-period EMA and 26-period EMA are equal; when DIF is above the zero line, the faster moving average is above the slower one.
Many people also watch for bearish and bullish divergences: when the price makes a new high but MACD fails to follow, or the price makes a new low but MACD fails to follow, this is often taken as a sign of weakening momentum.
All data describe past market movements, and the market can move in the opposite direction at any time.
What exactly does MACD measure? The zero line is where DIF equals 0, meaning the 12-period EMA and 26-period EMA are equal; when DIF is above the zero line, the faster moving average is above the slower one.
Many people also watch for bearish and bullish divergences: when the price makes a new high but MACD fails to follow, or the price makes a new low but MACD fails to follow, this is often taken as a sign of weakening momentum.
All data describe past market movements, and the market can move in the opposite direction at any time.
