Moving Average Convergence Divergence Strategy
The Moving Average Convergence Divergence oscillator (MACD) is a popular indicator that uses moving averages. This indicator combines several components into an easy-to-read signal generator.
It is another indicator that you can add to your price chart that appears in a window at the bottom of the chart. There are two lines on it that can be traded in a similar fashion to the Moving Average Crossover Strategy above.
When the leading line crosses above the lagging line, that is a bullish signal to buy. When the leading line crosses below the lagging line, that is a bearish signal to sell.