Served up: today's little candlestick-market note. $AAVE 4-hour MACD forms a bearish crossover above the zero line, with 15 consecutive bars moving in the opposite direction before the crossover.
As soon as DIF and DEA cross, my fingers start itching to trade—but luckily, I checked the definition first.
Now for the serious bit: the bars' length reflects the distance between DIF and DEA. If each bar is larger than the last, it means momentum in the current direction is increasing; if they get shorter, momentum is fading.
All indicators merely summarize market movements that have already happened. The market can reverse course at any time.
As soon as DIF and DEA cross, my fingers start itching to trade—but luckily, I checked the definition first.
Now for the serious bit: the bars' length reflects the distance between DIF and DEA. If each bar is larger than the last, it means momentum in the current direction is increasing; if they get shorter, momentum is fading.
All indicators merely summarize market movements that have already happened. The market can reverse course at any time.