No Nonsense Gold MACD Technical Analysis
The MACD indicator was developed by Gerald Appel.
MACD Gold Indicator is one of the simplest and most commonly used gold indicators available. MACD Gold Indicator is a momentum oscillator with some gold trend following characteristics. The most popular technical analysis of MACD Gold Indicator first calculates the difference between two moving averages and plots that as the MACD Gold Indicator "Fast" line; A second MACD Gold Indicator "Signal" (trigger) line - Gold Trading Signal is then calculated from the resulting "Fast" line and plotted in the same frame as the MACD Gold Indicator "Fast" line. The "standard" MACD values for the "Fast" line are a 12-period exponential moving average and a 26-period exponential moving average and a 9-period exponential moving average for the MACD Gold Indicator "Signal" line.
Interpretation of MACD XAUUSD Indicator - No Nonsense Gold MACD Technical Analysis
MACD Gold Indicator is widely used as a trend following indicator and tends to work most effectively when measuring wide swinging xauusd market price movements. There are three basic techniques for using the MACD Gold Indicator to generate xauusd trade signals.
No Nonsense XAUUSD MACD Buy and Sell XAUUSD Signal Indicator
1. MACD Gold Indicator Fast line MACD Gold Indicator Signal line Crossover: A buy signal occurs when the MACD Fast line crosses above the MACD Signal line and a sell signal occurs when MACD Fast line crosses below the MACD Signal line.
2. Fast line / Zero-Level Crossover: - No Nonsense Gold MACD Buy and Sell Gold Signal Indicator When the MACD Fast line crosses above zero center line mark a buy signal is given. Alternatively, when the MACD Fast line crosses below zero center line mark a sell xauusd trade signal is given.
No Nonsense XAUUSD MACD Technical Analysis
Gold divergences between the MACD indicator and xauusd price can prove to be a very effective gold trading strategy in identifying potential gold trend reversal and/or trend continuation points in xauusd price movement. There are several types of MACD indicator divergences:
MACD Classic Divergence
- MACD Bullish Divergence = Lower lows in xauusd price and higher lows in the MACD indicator
- MACD Bearish Divergence = Higher highs in xauusd price and lower highs in the MACD indicator
MACD Hidden Divergence
- MACD Bullish Divergence = Lower lows in MACD and higher lows in xauusd price
- MACD Bearish Divergence = Higher highs in MACD and lower highs in xauusd price
MACD indicator Overbought Oversold Levels:
The MACD indicator can be used to identify potential overbought and oversold levels in xauusd price movements. These MACD indicator overbought oversold levels are generated by comparing the distance between the shorter moving average and the longer moving average; if the shorter moving average separates dramatically from the longer moving average it may be a signal that xauusd price is over extending and the xauusd price will soon return to more realistic levels.
Implementation of MACD XAUUSD Indicator
The MACD indicator Fast line is plotted as a solid blue line. The MACD indicator Signal line is plotted as a solid red line. A green histogram plot that represents the difference between the MACD Fast line and the MACD Signal line has also been included to make identifying MACD indicator crossover points easier.
No Nonsense MACD XAUUSD Indicator - No Nonsense Gold MACD Technical Analysis
