MACD Indicator Cross-over Signals

MACD centerline crossovers generate trading signals using the centerline 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 MACD Line (not center line) it shows market momentum is slowing - this isn't a reversal signal or a sell signal, wait out for the center mark crossover.
When the Fast line crosses above the MACD Line (not center line) it shows the market momentum is slowing - this isn't 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 zero center line, sell signal was confirmed & the market sentiment changed to bearish - downwards trend.

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

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

Oscillation of MACD Indicator

MACD is an oscillator technical that moves up & down around a zero centerline mark. The centerline is the neutral measurement, values/readings above the zero mark will reflect bullish trend while values below show bearish market trend.

The MACD is also used to indicate over-bought and over-sold levels. When MACD reaches over-extended levels, then a xauusd is overbought or oversold. However, in a strong upwards trending market prices will stay over-bought in this case it is 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 levels form way above the zero line while oversold levels form way below zero line.

MACD Overbought Region - Trend Continuation Signal

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Trade Forex Trading

MACD Indicator Cross-over Signals

Oscillation of MACD Indicator