MACD

= MACD =

Introduction
The MACD or Moving Average Convergence and Divergence is a running indicator.

Construction
MACD (alpha, beta) = EMA (alpha) - EMA (beta)

MACD.SignalLine (gamma) = SMA (gamma)

Signals

 * Go long when MACD crosses MACD.SignalLine from below
 * Go short when MACD crosses MACD.SignalLine from above

Strength

 * Stronger when divergence occurs on the MACD line
 * Stronger when large swing above or below the zero line