MACD’s trend-following signal is all about the 0 signal, or more basically, any MACD logic is based on the 0 signal
This is obvious if you think about it normally, but
MACD simply makes the state of the MA easier to understand
so to speak
the 0 signal of MACD becomes the weapon of the signal
in most cases, and for example arrows are especially such simple signals
therefore, rather than using an indicator that only outputs such arrows
it is far better to consider the trend market with MACD and then position
MACD
after all we are dealing with technicals
in the end, only those who can properly read the market’s visual information win
the tool that becomes the winner
is the MACD 0 signal
this 0 signal
is connected to the MA crossover concept
the MA crossover, by its mechanism
moves favorably in favorable situations
and moves quite unfavorably in unfavorable ones
whether it is a clean trend or an ugly one
that’s all there is to it
in a dirty trending market
the benefits of MA crossover cannot be utilized
however, if you look at it with the MACD 0 signal
unlike MA crossover
it is displayed only in the MACD sub-chart
and
it is easier to profit if you accept it as the market’s visual essence
in other words, it tends to align with the idea that MACD helps you receive less noise from the market
and make the market targeting more profit-oriented
this may be a difficult comparison to grasp without actually using MACD in real markets
but once you actually use it, you will understand both its usefulness and its weaknesses
The market is always wrong — which is to say
for traders too, there is an element of generating noise
if you plan to accept that,
the MACD 0 signal is certainly a key concept
※ If you want to keep earning in FX, please visit here ↓
× ![]()