2006-10-10 19:41:08 · 2 answers · asked by aramaiya 3 in Business & Finance ➔ Investing
The 12, 26, 9 were the values originally chosen by Gerard Appel the inventor of MACD. In end of day trading these values corresponds to a lag of about a month and trades that last typically a few months to a year.
I've seen used also 7,13,5 periods about twice as fast.
2006-10-11 20:54:56 · answer #1 · answered by cordefr 7 · 0⤊ 0⤋
well, I know it's moving average convergence - divergence, and at some point you might want to consider reading a bit more about it - but for a quick answer there's always a 0 zero point and the technicals fluctuate either up or down from the zero point. I don't agree that it's always one of the numbers you mentioned but I will say that the MACD is a measurement of the inherent trending pattern of a stock - so if it's under accumulation the trend should be up and the MACD positive - or up over the center line or the 0 zero line.
Good luck, if you have access to clearstation.etrade.com - sign up for it as it's free and you'll be able to use their graphing free.
Good Luck, Happy Trending!
2006-10-10 21:07:01 · answer #2 · answered by cortical contusion 2 · 0⤊ 0⤋