MACD usage

As a trend indicator, MACD can determine the mid-term trend.

Basic usage

①Divergence method (most commonly used):

Tip: When the K-line trend is higher than the previous peak, but the MACD trend is lower than the previous peak, it is a top divergence; when the K-line trend is lower than the previous peak, but the MACD trend is higher than the previous peak, it is a bottom divergence.

Conclusion: Bottom divergence is bullish; top divergence is bearish.

②Golden Cross and Dead Cross method (trend method):

MACD Golden Cross: Bullish; MACD Dead Cross: Bearish

Note: MACD's golden cross and dead cross tend to look at a larger cycle, 4 hours is the best, daily line or 30 minutes are also acceptable.