Quick note: The $WLD 4-hour MACD formed a bullish crossover below the zero line, with the opposing histogram bars persisting for 20 bars before the crossover.
People often ask how to read the MACD. This is how I understand it.
MACD values are related to the price of the coin, so comparing values directly across different coins isn’t meaningful. Instead, look at crossovers and changes relative to the zero line.
A bearish crossover above the zero line is often seen as a sign that upward momentum is slowing, but it doesn’t necessarily mean the trend is over. A bearish crossover below the zero line is often viewed as a sign that weakness is continuing.
Leave enough room in your futures positions. Don’t let one sudden price swing stop you out.
People often ask how to read the MACD. This is how I understand it.
MACD values are related to the price of the coin, so comparing values directly across different coins isn’t meaningful. Instead, look at crossovers and changes relative to the zero line.
A bearish crossover above the zero line is often seen as a sign that upward momentum is slowing, but it doesn’t necessarily mean the trend is over. A bearish crossover below the zero line is often viewed as a sign that weakness is continuing.
Leave enough room in your futures positions. Don’t let one sudden price swing stop you out.