MACD Indicator Cross over Signals

MACD Center line crossovers generate signals using the center line mark. The sentiment of the market can be confirmed using the MACD center line cross-overs. MACD xauusd crossover above the center line mark generates bullish market sentiment while crossover below the center-line generates bearish market sentiment.

When the FastLine crosses below the MACD Line (not center-mark) it shows market momentum is slowing - this isn't a reversal signal or a sell signal, wait for the center mark crossover.
When the Fast line crosses above the MACD Line (not center mark) it shows the market momentum is slowing - this is not a reversal signal or a buy signal, wait for the center mark crossover.
The Center Line crossover signals will be the best trading signals for validating buy and sell signals.

Using the chart in the example shown below, when MACD fastline crossed below the zero center mark, the sell signal was confirmed and the market sentiment changed to bearish - downward trend.

Also in the example shown below when MACD fast line later crosses above zero center mark, a buy signal was generated and the market sentiment changed to bullish - upwards trend.

MACD Zero-Line Mark Crossover - Precisely When a Sell Signal and Buy Signal are Generated

Oscillation of MACD Indicator

MACD indicator is an oscillator technical that moves up & down around a zero centerline mark. The center-line is the neutral measurement, values above zero will indicate bullish trend while values below indicate bearish trend.

The MACD indicator is also used to indicate over-bought and oversold levels. When MACD reaches overextended levels, then a xauusd is overbought or oversold. However, in a strong upwards trending market prices will stay overbought in this case it's better to buy.

Also in a strong down trending market its better to sell, because prices will stay in the over-sold region for a long time.

Overbought conditions occur above the zero line while over-sold conditions occur way below the zero mark.

MACD Overbought Region - Trend Continuation Signal

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MACD Indicator Cross over Signals

Oscillation of MACD Indicator