Moving Average Convergence Divergence

The Moving Average Convergence Divergence (MACD) Indicator is added as a tab on the last available Study pane. It shows the relationship between two Exponential Moving Averages An Exponential Moving Average An Exponential Moving Average applies more weight to recent prices relative to older prices. It is plotted calculated based on a percentage of yesterday’s Exponential Moving Average and today’s closing price. Greater weight is placed on today’s data. The term “yesterday” figuratively represents a specific number of days in the past leading up to today, and is specified through the Periods parameter. applies more weight to recent prices relative to older prices. It is plotted calculated based on a percentage of yesterday’s Exponential Moving Average and today’s closing price. Greater weight is placed on today’s data.
The term “yesterday” figuratively represents a specific number of days in the past leading up to today, and is specified through the Periods parameter., one “fast” and one “slow” (specified through the FastPeriods and SlowPeriods parameters respectively - see below). The MACD is plotted as a single line derived from the fact that the fast Exponential Moving Average is continually converging with and diverging from the slow Exponential Moving Average. A Signal line is plotted as a base Exponential Moving Average. Divergence of the MACD [the amount (+/-)] from the Signal line is measured, and is represented as bars above and/or below a horizontal equilibrium line (Zero).

Indicator Properties

Parameter	Description
MACD	The color of the line representing the Moving Average Convergence Divergence.
Signal	The color of the line representing the Signal.
Divergence	The color of the bars representing the Divergence of the MACD from the Signal line.
Zero	The color of the horizontal equilibrium line.
SlowPeriods	The number of rolling periods [e.g., Historical (days), Intra-day (minutes, hours, etc.)] considered as the slow part of the MACD calculation. The default value is 26.
SignalPeriods	The number of rolling periods [e.g., Historical (days), Intra-day (minutes, hours, etc.)] considered in the Signal calculation. The default value is 9.
FastPeriods	The number of rolling [e.g., Historical (days), Intra-day (minutes, hours, etc.)] considered as the fast part of the MACD calculation. The default value is 12.