FOREX Price Indicators Can Steer You In The Right Direction
Thursday, December 20th, 2007
http://www.myfuturesblog.com
MACD (Moving Average Convergence Divergence). Is based on the moving averages of different time frames of price. The most popular times are 12 and 26 trading days with a 9 day moving average overlaid for a timing reference.
When prices go up and an indicator goes down two are diverging. This is a good indication that the upward movement of price is getting weak. The same holds true for a price movement down. If prices continue down and the indicators start moving up it indicates the prices are gaining some strength and may start moving to the upside.








