Technical indicators

MACD

A trend-and-momentum indicator built from the gap between two moving averages.

MACD (Moving Average Convergence Divergence) is the difference between a fast and a slow exponential moving average, plotted with a signal line and a histogram. Crossovers of the MACD and signal lines, and the histogram flipping sign, are read as momentum shifts. It lags price because it is built from averages.

Educational content, not financial advice.