The Best MACD Final Indicator is an upgraded version of Moving Average Divergence and Convergence. It has been developed for analyzing the market momentum on MT4 platform charts. This indicator is well-known for its great versatility and suits all sorts of trading instruments including forex and stocks.
According to our review, the Best MACD Final indicator works best on shorter timeframes. So, it ideally works better when applied for day trading or scalping purposes.
The Best MACD Final Indicator applies 12-period fast-EMA, 26-period slow-EMA, and 9-period signal-EMA for assessing the market momentum. The signal EMA value is demonstrated by using the MACD bars.
The green and red curves across the indicator window represent the fast and slow exponential moving averages. These EMAs produce crossover signals during a reversal condition of the market momentum.
The MACD value is the primary indicator that determines the current condition of the market momentum. The value turns positive for a bullish momentum and becomes negative when the momentum turns bearish.
Once you get the primary confirmation of the momentum condition, look for EMA crossover signals for validating the momentum signal. For instance, the fast-EMA (green line) moves above the slow-EMA (red line) means it is a bullish crossover. In such a condition, if the MACD value turns positive, consider the price is moving in a bullish trend direction.
Best MACD Final Indicator for MT4: Buy Conditions
- The indicator value turns positive
- Most of the MACD bars turn into yellow color
- The fast-EMA crosses above the slow-EMA
- Exit long whenever the MACD shows a bearish momentum signal
Best MACD Final Indicator for MT4: Sell Conditions
- The indicator shows a negative value
- The MACD bars turn red
- The slow-EMA turns greater than the fast-EMA
- Take profit whenever the MACD value turns positive