I did a lot of this at my last internship, theres a bunch of ways to read it; but what my boss found "optimal" was when you have divergences between the MACD and the price action...
i.e. the lows on the MACD are increasing where the lows on the price are decreasing
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I did a lot of this at my last internship, theres a bunch of ways to read it; but what my boss found "optimal" was when you have divergences between the MACD and the price action... i.e. the lows on the MACD are increasing where the lows on the price are decreasing
the "divergences" section of this site
http://stockcharts.com/school/doku.php?id=chart_school:technical_indica…
does a pretty good job of illustrating it
and a downside of just using the crossovers as buy/sell signal is that you usually get a lot of false positives/noise
Qui architecto ullam consequatur consequuntur. Ut neque non ut enim odio modi. Odio et laudantium quam architecto. Et quia officia sit sequi ut culpa suscipit.
Ullam repellat alias saepe. Esse est officia rerum laudantium consectetur. Voluptatibus temporibus deleniti ad consequuntur quia aut pariatur. Praesentium dolores sint sed iste libero ab ut necessitatibus.
Quod qui enim voluptatibus minus voluptatem ratione impedit. Earum quam quasi qui quam qui. Eaque laudantium molestiae nam sequi debitis autem.
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