Momentum Indicators
Moving Average Convergence Divergence (MACD)
Moving Average Convergence/Divergence
Deep Dive
Everything You Need to Know
Under the Hood
How It Works
MACD is calculated by subtracting the 26-period EMA from the 12-period EMA. A 9-period EMA of the MACD line (signal line) is plotted on top to generate trading signals.
In Practice
How Traders Use It
Buy signals occur when the MACD crosses above the signal line. Sell signals occur when it crosses below. Divergences between MACD and price indicate potential reversals.
Highlights
MACD at a Glance
- Uses 12 and 26 period EMAs
- Signal line: 9-period EMA of MACD
- Bullish crossover: MACD crosses above signal
- Bearish crossover: MACD crosses below signal
- Histogram shows distance between MACD and signal
Compare
Compare MACD with Other Indicators
Related
More Momentum Indicators
Get Started
Automate MACD with Cryptorobot.ai
Build automated strategies using Moving Average Convergence Divergence and hundreds of other indicators. Connect to your favourite exchange and let the bot execute trades 24/7 — no code required.
FAQ
Frequently Asked Questions
What is the Moving Average Convergence Divergence (MACD) indicator?
Moving Average Convergence/Divergence
How does MACD work?
MACD is calculated by subtracting the 26-period EMA from the 12-period EMA. A 9-period EMA of the MACD line (signal line) is plotted on top to generate trading signals.
How do traders use MACD in their strategies?
Buy signals occur when the MACD crosses above the signal line. Sell signals occur when it crosses below. Divergences between MACD and price indicate potential reversals.
What are the key points to know about MACD?
Uses 12 and 26 period EMAs Signal line: 9-period EMA of MACD Bullish crossover: MACD crosses above signal Bearish crossover: MACD crosses below signal Histogram shows distance between MACD and signal
Can I use MACD with Cryptorobot.ai?
Yes. Moving Average Convergence Divergence (MACD) is available as a built-in indicator in Cryptorobot.ai. You can add it to any automated strategy using the no-code strategy builder, backtest it against historical data, and deploy it live on supported exchanges.