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Macdivergence

Indicator Review : MACDTechnical indicator: The MACD What does it represent? The MACD (Moving Average Convergence Divergence) indicator is one of the trend indicators. The MACD corresponds to the difference between two exponential moving averages of different periods (the most common are 12 and 26 days) It is a complementary tool to moving averages that allows you to anticipate sales and purchase signals via the study of the crossover between the MACD curve and the signal line or discrepancies How to use it? Two ways to use it: Study of crossings: When the MACD line crosses the signal line upward, it is a buy signal. Conversely, when the MACD line crosses the signal line downward, it is a sales signal. Study of divergences: Deviations is another type of signal that can be detected using MACD curves. These signals, historically very powerful, make it possible to detect a possible significant reversal of the trend. A divergence is a technical term that describes the price of an asset that follows a trend opposite to that of an indicator. In conclusion, the MACD it one of the most widely used trends indicators but it isn't self sufficient, you have to pair it with other such as CCI.
Education
by Arnaudcrypto
GBPUSD (Gartley Pattern) -1h ChartConfirmations for Gartley Pattern - A-B must touch 0.618 but cannot touch 0.786 - B-C must touch 0.236 but cannot exceed A - D completion at 1.272 (Trend Extension) or 0.786 from normal measurement - First TP at 0.618 (Fibonacci from D-A) - Second TP at 0.382 (Fibonacci from D-A) - Third TP would be back to where it all started After Gartley is completed there could be some consolidation for bearish continuation towards -0.618, at this point i'll follow structure to confirm bearish continuation at that point. Good Trading. -1h Chart
Short
by DanielParra99
ES1!: Bears be warned. Over the longer-term, I am a bear as I tried to highlight in the Preponderance of Evidence chart fest. However, in the immediate time horizon, bears be warned as the ES1! nears ABCD completion at 2590 and we are starting the see the initial signs of a positive MACD divergence. We would need a a higher close to confirm the MACD divergence (new low is defined as a close flanked by at least 2 higher closes). Do remember, any up-move should be viewed in the context of a counter-trend rally as there is a bigger negative MACD divergence in the weekly charts.
CME_MINI:ES1!
by WellTrainedMonkey
Bull's trend in Natural Gas is ready for its reversal The recent uptrend in OANDA:NATGASUSD is ready for its reversal based on two bearish divergencies: RSI (relative strength index) and MACD. I also don't see much of volume which would support current enthusiasm of the bulls. Based on my observation of the OANDA:NATGASUSD almost over a year, the price level of 3.00 can be broken due to extreme weather conditions which are not expected in the foreseeable future. It's time to open a long position in AMEX:DGAZ if you want to catch the downtrend. I expect the level of 2.9 being tested next week.
OShort
by DmitriTrader
27
ICX at all time low with a bullish divergence formingThis is the weekly chart and while there is not a ton of data on this seeing as it's relatively new, there is a bullish divergence being shown on the weekly chart. This also lines up with ICX being at an all time low from when it first came to market. If BTC goes down, I'm sure there is room to go down well past this all time low, however, this chart independently looks like it could be a good long opportunity. Trade at your own risk and if you do, I'd suggest a stop loss 5-10% where you enter at this bottom as to not risk BTC crashing. This is not a day trading chart, this is a mid/long term outlook based on the weekly view.
Long
by crow1980
3
ICC Labs - break-out Aug 21About: ICC Labs ICCLF ICC Labs Inc., through its subsidiaries, produces and sells cannabis in Uruguay. It offers recreational cannabis, medicinal cannabis, cannabinoid extracts, and by-products for medicinal, recreational, and industrial use, as well as industrial hemp. The company is headquartered in Vancouver, Canada. Blocked at the border? Break-out Aug 21 on MACD, buylongselllong @MarxBabu, and CCI using 1 day chart. Note for own use. Industrial HEMP & Cannabis stock, Uraguay?
IShort
by Pokethebear
BABA: Accumulate at bottom of channelBaba is like the Goog, it isn't going away and neither is China. Baba is less about international trade than it is a domestic play. Look for policy or fiscal support as the CCCP look to soften the Trump tariffs. Stock is trading at the bottom of the channel with a potential positive MACD divergence and should consolidate around current levels before testing the channel's upper boundary around the $210 level. Stops can be placed below the channel's lower boundary for a good risk reward trade.
NLong
by WellTrainedMonkey
How to Simply Spot MACD Trend and Benefit from Histogram.Welcome back to my another Educational post. I really do appreciate all support I got in my previous Educational material about MACD, so I am bringing you some more useful Education simply explained about MACD . As I was doing my next Bitcoin Technical Analysis, I was looking a bit more into MACD and thought, I would explain to you a little bit more about how MACD works. How trends are creating, when they start or end, what to consider as support or ressistance on fast lane, how to benefit from histogram. Lets start with Histogram. Its really all about those commas, lets start by splitting the histogram to two sides. Positive - upper, when histogram is positive, fast lane is on buy signal. Negative - lower, when histogram is negative, fast lane is on sell signal. In simple histogram shows the overall volume which is in dominance, for example long positive comma represent strong buying volume in one specific timeframe. Histogram also has his own support and ressistance levels. You can also consider Histogram as wave indicator . At Positive histogram, the tallest comma represent ressistance . You can find ressistance when the next comma in uptrend is lower than previous, forming downtrend . You can also find support at Positive histogram, basically when in downtrend is one comma taller than previous one , uptrend is being formed. At Negative histogram its the same thing, just rotated . So the tallest histogram comma represent that support was found forming uptrend . When a next comma is taller than previous one, it means ressistance was found forming downtrend . Lets follow it up by fast (blue) and slow (orange) lane on macd. Fast lane is known as signal line. When is fast lane is above slow lane, this gives a buy signa l and also the slow lane can be considered as support , and as you know each succesful test lead the price higher. When fast is lane is below slow lane , this gives a sell signal and also the slow lane lane can be considered as ressistance , and as you know each unsuccesful test lead price lower . MACD and Histogram are pretty close connected together as they are giving similiar signals, making signal easier to spot together. When MACD lanes are high is harder for them to cross and give buy signal as i ncreasing demand is required , same is valid for low or oversold macd, its easier for low macd lane to give buy signal as less demand is required. I think thats all important information about MACD for now , everything else should be explained on the chart with the help of Legend. Hope you liked this Education about MACD and more close look on histogram and his purpose. None of this contect was copied, and its all written by me. Hope I havent missed anything important , if yes point it in comments . If I have learned you anything that you are able to benefit from and be a bit better trader , let me know by smashing that agree button , each like is very appreciated as I am doing this for FREE and it took me a LOT of time, Thanks a Lot !
BITFINEX:BTCUSDEducation
by TiborVrbovsky
3
EURNZD (Bat Pattern and Ending Diagonal) -1h ChartBat Pattern confirmations: - A-B must touch 0.5, but cannot touch 0.618 - B-C must touch 0.618, but cannot exceed A (FIbo A-B) or just keep an eye on that 0.236 - D completion at 0.886 (Fibo X-A) - Take profits at 0.382 and 0.618 (Fibo A-D) - Third TP would be long term back to where it all started Ending Diagonal confirmations: - 5 clear points - 2 clear consolidations - 0 to 1 same distance as 4 to 5 - Double top at point 5 Daily analysis of EURNZD at related ideas (scroll down) Good Trading. -1h Chart
Short
by DanielParra99
USDMXN (Harmonic Pattern's inside consolidation) -1h ChartBat Pattern confirmations: - A-B must touch 0.5, but cannot touch 0.618 - B-C must touch 0.618, but cannot exceed A (FIbo A-B) or just keep an eye on that 0.236 - D completion at 0.886 (Fibo X-A) - Take profits at 0.382 and 0.618 (Fibo A-D) - Third TP would be long term back to where it all started Deep Crab Pattern: - A-B leg can retrace anywhere between 0.382 up to 0.618 - B-C leg can retrace 0.382-0.886 of AB leg - C-D is an extension of up to 1.618 of XA leg - Take profits at 0.382 and 0.618 (Fibonacci D-C) - Third TP would be long term back to where it all started Cypher Pattern: - A to B must touch 0.382 but cannot exceed 0.618 - B to C must touch 1.272 but cannot close below 1.414 (Trend-Based Fib Extension) - C to D must touch 0.786 of X to C - First TP at 0.618 of D to C (Fibonacci) - Second TP at 0.382 of D to C (Fibonacci) - Third TP would be back to where it all started Gartley Pattern - A-B must touch 0.618 but cannot touch 0.786 - B-C must touch 0.236 but cannot exceed A (on this case its at 0.382 unified gartley ) - D completion at 1.272 (Trend Extension) or 0.786 from normal measurement - First TP at 0.618 (Fibonacci from D-C) - Second TP at 0.382 (Fibonacci from D-C) - Third TP would be back to where it all started Total Pattern's: 2 Cypher 2 Bat 1 Unified Gartley 1 Deep Crab We can see several patterns been completed inside this consolidation respecting each fibonacci retracement, at this point its forming a Bat Pattern going bearish for its D completion at 0.786-0.886 area or it could turn into an Alternate Bat Pattern, which it would retrace towards 1.13 (retest at trend), after Bat confirmation I expect bullish impulse towwards -0.27 Good Trading. -1h Chart
by DanielParra99
EURAUD (Deep Crab Pattern) -4h ChartConfirmations for Deep Crab Pattern: A-B leg can retrace anywhere between 0.382 up to 0.618 B-C leg can retrace 0.382-0.886 of AB leg C-D is an extension of up to 1.618 of XA leg Take profits at 0.382 and 0.618 (Fibonacci D-C). We can see there's a Double Top for higher high confirmation and bearish initiation, which MACD shows divergence as it doesn't have a double top inside the indicator, at this point I expect price to be bearish with a good risk/reward trade. Good Trading. -4h Chart
Short
by DanielParra99
Learn how MACD and Trendlines are Connected.Hey, I am back, this time with something, kinda unusual, and I dont know If you like this kind of stuff, but here is some education for you to make a better trading decision in your future! Okay, so I would like to teach you a bit about MACD and how is this indicator connected to trendlines. In this chart you can see three flags , each flag can be bullish or bearish. But how do you know if a flag will be bullish or bearish? Pretty simple and pretty hard in same way. If a price breaks uptrend ascending ressistance it means breakout ! And if the price breaks ascending support level it means a breakdown . This type of trading is called breakout trading. But what makes flag, a flag? In simple. Flag is a continuation pattern, they usually represent only brief pauses in a dynamic stock also they are typically seen right after a big, quick move , thats why we see so much flags in the Bitcoin charts, its a very quick and dynamic moving stock compared to others stocks, not cryptocurrencies. Channel/flag, is formed by a ascending support level and ascending ressistance level. Inside this channel you can spot tests on both support and ressistance level. So lets now just go trough the chart chronologically and see how the MACD reacts to trendlines. At first double top you can see the test of ressitance uptrend flag/channel. This test was negative, you can spot that by histogram finding his top and starting to decline, same thing on "Point A". As histogram is starting to decline ,Bitcoin is about to test a certain level, this time it is a ascending support level, you can spot it at first macd uptrend test where the histogram turned around and started to see buying volume increasing, this same is valid for each succesful uptrend test. After some tests of each ascending ressistance or support, when the price leaves this channel, its a prediction for a sharp move in a way, which was broken, for example broken ascending ressistance level would mean breakout. After the first flag has broken out, steep uptrend were build , and succesful test of this steeper uptrend meant another wave of buyers p ushing price even higher, found ressistance at 6800, failed at testing second steep uptrend and found new channel. In a second flag , Bitcoin is on selling wave , so for macd to give us buy signa l, Bitcoin would need to break ascending ressistance and that would give macd buy signal, its opposite as buying wave, while on buying wave you see rise in histogram which meant succesful test, here means the fall ( or rise from negative bottom if you will ) of histogram, Bitcoin finding support. A fter Bitcoin has failed in the second flag breaking/testing the ressitance twice as macd suggest and also the ascending ressistance which wasnt overhelmed, the flag has seen a breakdown . After breakdown Bitcoin found support and formed another uptrend , found new ascending ressitance and formed another flag, on this last flag, you can beautifuly see how is macd testing , each test represent an ascending support test on the chart, after 4 succesful test in a row, the flag has broken out and saw a breakout! In short MACD shows test of trendlines, ressistance, support. When is MACD doing waves , or in another words blue riding on orange line, it means succesful test of uptrend , support and price of stock may continue to rise. When Flag gets broken , heavy price action is ahead. When uptrend is broken , usually downtrend is formed until stock finds support and from there form another uptrend. The highest positive histogram tick represent finding ressistance , falling volume, headed to test support levels. The lowest( or the longest if you will) negative histogram tick represent finding support and price headed to test ressistance for possible macd turnaround, on chart you can see two unsuccesful, which led to breakdown. Hope you liked this Education about MACD and Trendlines connection and also some education about flags/channels. Hope I havent missed anything important , if yes point it in comments. I f I have learned you anything that you are able to benefit from and be a bit better trader , let me know by smashing that agree button, each like is very appreciated as I am doing this for FREE and it took me a LOT of time, Thanks a Lot!
BITFINEX:BTCUSDEducation
by TiborVrbovsky
5