This MACD shows both the standard histogram, as well as MACD and Signal line but on top of it has a MACD Leader implemented. The MACD usually lags a bit behind due to using moving averages. By adding the price/moving average difference back to the moving average however, we can almost eliminate the lag and therefore have a leading indicator for the MACD . Please...
Moving Average Convergence Divergence – MACD The most popular indicator used in technical analysis, the moving average convergence divergence (MACD), created by Gerald Appel. MACD is a trend-following momentum indicator, designed to reveal changes in the strength, direction, momentum, and duration of a trend in a financial instrument’s price Historical...
MACD makes use of moving averages and therefor usually lags behind the price. It is possible to eliminate lag completely but the work around of this is usually by adding a component of the price/MA difference back to MA. This technique is called Zero-lag. It is not zero lag but it is close enough. "MACD Leader" makes use of this to form a leading signal to...
This version includes all the improvements: - Leader line - Classic histogram - Impulse histogram (off by default) - Volume weighted histogram (off by default) - Cross marked with dots