How to Add MACD Indicator on MetaTrader 4 Charts - Adding MT4 MACD Chart Indicator

Step 1: Open the Navigator Panel on Trading Platform Software

Open Navigator window as shown and illustrated below: Go to 'View' menu (press on it), then choose 'Navigator' panel (click), or From Standard Tool-Bar click 'Navigator' button or press key-board short cut keys 'Ctrl+N'

On Navigator window, select 'Indicators', (DoubleClick)

How to Add MACD Indicator on MT4 - MT4 MACD Indicator - How Do You Use MACD Indicator in Forex?

How Do You Add MACD Indicator on MetaTrader 4 - MT4 MACD Indicator

Step 2: Expand the Indicators Menu on the Navigator - Adding MACD MetaTrader 4 Indicator

Expand menu by clicking expand button marker (+) or double-click the 'indicators' menu, after this the button will appear as (-) and will now display a list as shown below - select the MACD chart indicator from this list of trading indicators so as to add the MACD indicator to the chart.

How Do I Add MACD Indicator on Chart? - MACD Indicator Settings on MT4

How Do I Add MACD Indicator - From the Above window you can then place MACD indicator that you as a trader want on the chart

How to Add Custom MACD Indicator to MetaTrader 4

If the technical indicator you want to add is a custom indicator - for example if the MACD technical indicator you want to add is a custom indicator you will need to first add this custom MACD indicator on the MT4 platform & then compile custom MACD technical indicator so that the newly added MACD custom indicator pops up on the list of custom technical indicators in Meta Trader 4 platform.

To learn how to install MACD indicators on MT4, how to add MACD indicator panel to MT4 and how to add MACD custom indicator in MT4 - How to add a custom MACD in MetaTrader 4.

About MACD Technical Indicator Tutorial Explained

MACD Analysis Signals

Developed by Gerald Appel,

The Moving Average Convergence/Divergence is one of the simplest, reliable, and most commonly used trading indicators.

It's a momentum oscillator & also a trend-following technical indicator.

Construction

The construction of this indicator calculates the difference between two MAs & then plots that as 'Fast' line: the a second 'Signal' line is then calculated from the resulting 'Fast' line and then drawn on the same window as 'Fast' line.

'Fast' line - Blue Line
'Signal' line - Red Line

The 'standard' MACD values for the 'Fast' line is a 12-period exponential Moving Average and a 26-period exponential Moving Average and a 9-period exponential moving applied to the fastline, this draws 'Signal' line.

Fast-line = difference between 12 and 26 exponential moving averages
Signal Line = Moving Average of this difference of 9-periods

Momentum Oscillator Technical Indicators - MACD Indicator Setting in MT4

Forex Analysis & How to Generate Signals

The MACD is oftenly used as a trend-following technical indicator & works most effectively when interpreting trending market movements. 3 common techniques of using MACD to generate trading signals are:

FX Crossovers Trade Signals:

Fast-line/Signal-line Crossover:

A buy signal is generated when Fast Line crosses above Signal Line
A sell trade signal is generated when FastLine crosses below Signal Line.

However, in a strong trending market this signal gives a lot of whipsaw fakeouts, the best cross-over to use would thus be the Zero Line Crossover Signal that's less prone to fake outs.

Zero Line Cross over Signals:

When the Fast Line crosses above the zero center line a buy trade signal is generated.
when the FastLine crosses below zero centerline a sell trade signal is generated.

Divergence Trading:

Looking for divergences between the MACD and price can prove to be very effective in spotting the potential reversal and/or trend continuation points in price movement. There two types of divergences:

Classic Divergence Setup Signals
Hidden Divergence Trading Setup Signals

Overbought/Over-sold Conditions:

MACD is also used to spot potential overbought-oversold conditions in price action movements.

These levels are generated if the shorter MACD Lines separate dramatically from the median, this is an indication that price action is over-extending and it'll soon return to more realistic levels.

MACD and MA Cross over System

This trading indicator can be combined with others to form a tradingtrade system. A good combination with the Moving Average crossover trading system. A trade signal is generated when both give a signal in same direction.

How Do You Use MACD Indicator? - MACD Indicator Setting on MT4 - How Do I Add MACD Indicator in MT4 Charts?