How MACD strategy work
Entry Logic-
Histogram Cross With Level –
- BUY trade – When MACD histogram > “MACD Level For Buy” + Previous histogram below < “MACD Level For Buy”
- SELL trade – When MACD histogram < “MACD Level For Sell” + Previous histogram below > “MACD Level For Sell”
Histogram Above/Below of Level –
- BUY trade – When MACD histogram > “MACD Level For Buy”.
- SELL trade – When MACD histogram < “MACD Level For Sell”.
With Signal Line are same as a histogram. Here work with the signal line and above example, EA work with histogram line.
Histogram Cross With Signal –
- BUY trade – When MACD histogram line cross “MACD Signal Line” from lower to upper.
- SELL trade – When MACD histogram line cross “MACD Signal Line” from upper to lower.
Signal Line Above/Below of Level –
- BUY trade – When MACD signal line > “MACD Level For Buy”.
- SELL trade – When MACD signal < “MACD Level For Sell”.