MACD Gold Strategies
- MACD Fast Line and Signal Line
- MACD Buy & Sell Signals
- MACD Whipsaws FakeOut Signals
- Generating Centerline Crossover Trade Signals
- MACD Classic Bullish and Bearish Divergence
- MACD Hidden Bullish and Bearish Divergence
- MACD Summary
Bullish & Bearish XAUUSD Signals
The MACD indicator is one of the most widely & oftenly used technical indicators available. MACD indicator is a momentum oscillator technical indicator with some trend following characteristics.
MACD indicator is one of the most popular indicators used in trading analysis. MACD indicator is used to generate signals using cross-overs.
MACD plots the divergence and convergence of moving averages. MACD indicator is constructed using MA analysis. Moving Average Convergence/Divergence is a trend-following technical indicator. MACD indicator shows the correlation between 2 MAs.
One moving average is of a shorter period and the other for a longer period of price bars.
MACD Indicator - MACD Indicator Analysis
MACD indicator has a zero center-line: values above zero line are bullish while those below zero are bearish.
In an upwards trend the shorter MACD line rises faster that the longer MACD line this creates a gap. In addition as long as the MACD indicator is above the center-mark the trend is still bullish as illustrated below.
Do not sell as long as the MACD Indicator is above the Center Mark - this is bullish territory and it doesn't matter how it is moving as long as it's above the zero center mark, as shown on the trading example illustrated below.
MACD Indicator Above Zero Mark - Bullish XAUUSD Signal
In a downwards trend the shorter MACD line falls faster than the longer MACD line this creates a gap. In addition as long as the indicator is below the center-mark the trend is still bearish as illustrated below.
Do not buy as long as the MACD Indicator is below the Center Mark - this is bearish territory and it doesn't matter how it is moving as long as it's below the zero center mark, as shown on the trading example shown below.
MACD Indicator Below Zero Center Line Mark - Bearish XAUUSD Signal
When the trend is about to reverse the MACD lines start to move closer to each other, thus closing the gap.
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