Term

MACD

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MACD is an acronym for "Moving Averages, Convergence, Divergence". The indicator itself was developed by Welles Wilder which uses two moving averages to calculate price movement in which a cross of these moving averages indicates price changes, a reversal, a beginning of a new a trend. The indicator comes with a 0.00 preset parameter that acts as a neutral line between bullish movements and a bearish movements in the charts. Meaning should histogram form above the 0 line, this indicates a bullish market and one prices the histograms drop below the zero parameter, this indicates a bearish movement. To learn more about this indicator click here.

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