Moving Average Convergence/Divergence (MACD)
Moving Average Convergence/Divergence Indicator is also used sometimes to follow momentum.
MACD is calculated by subtracting 26-period exponential moving average from 12-period exponential moving average.
It’s also depicted with 9-period exponential moving average also called a signal line that serves as buy (in case MACD crosses 9-EMA from above) or sell (MACD crosses 9-EMA from below).
MACD sometimes is also displayed as a histogram the values of which depict the distance between MACD and the signal line.
