Moving Average Convergence Divergence MACD

November 10, 2014

 

 

Moving Average Convergence Divergence, MACD oscillator, is a trend following momentum indicator that shows the relationship of two moving averages of prices action; the MACD line and signal line.

 

Four ways to trade:

  1. Trade Breakout
  2. Trade with Trend
  3. Trade counter Trend
  4. Trade picks Tops or Bottoms

 

Four entry methods:

  1. Crossovers – Sell Strategy, MACD crosses below the signal line. Buy Strategy, MACD rallies above the signal line. It is advisable to wait for confirmation to reduce possible whipsaw.
  2. Divergence – The security price action diverges from the MACD. It signals the end of the current trend.
  3. Cross Zero Line – MACD moves above or below zero line. Upward trend: Cross above zero line, short MA above long MA. Downward trend: Cross below zero line, short MA below long MA.
  4. Dramatic rise or fall – MACD rises or decline dramatically – when the shorter moving average pulls away from the longer-term moving average – Oversold or Overbought.

 

November 5,  2014, Wednesday Free Singapore Stocks MACD Scan for Stocks closed greater than fifty (50) cents

  1. Stock closed more than fifty (50) cents and volume traded greater 500K
  2. MACD line crosses above MACD signal – Bullish trend
  3. MACD line crosses above zero line – Bullish trend
  4. MACD Histogram +ve Divergence – Bullish trend
  5. MACD line crosses below MACD signal – Bearish trend
  6. MACD line crosses below zero line – Bearish trend
  7. MACD Histogram -ve Divergence – Bearish trend

 

Company Date Bias Close Vol.(K)
YANGZIJIANG SHIPBLDG HLDGS LTD 5/11/2014 Bullish 1.16 11659
M1 LIMITED 5/11/2014 Bullish 3.64 1593
GLOBAL LOGISTIC PROP LIMITED 5/11/2014 Bearish 2.69 13810
OKH GLOBAL LTD. 5/11/2014 Bearish 0.56 5082
MAPLETREE COMMERCIAL TRUST 5/11/2014 Bearish 1.41 2473
SABANA SHARI’AH COMPLIANT REIT 5/11/2014 Bearish 0.99 1060
RELIGARE HEALTH TRUST 5/11/2014 Bearish 0.98 1037
CDL HOSPITALITY TRUSTS 5/11/2014 Bearish 1.68 876
SPH REIT 5/11/2014 Bearish 1.05 746

 

 

5 November 2014, Wednesday Free Singapore Stocks MACD Scan for Stocks closed greater than ten (10) cents

  1. Stock closed more than ten (10) cents and volume traded greater 500K
  2. MACD line crosses above MACD signal – Bullish trend
  3. MACD line crosses above zero line – Bullish trend
  4. MACD Histogram +ve Divergence – Bullish trend
  5. MACD line crosses below MACD signal – Bearish trend
  6. MACD line crosses below zero line – Bearish trend
  7. MACD Histogram -ve Divergence – Bearish trend
Ticker Company Date Bias Close Vol.(K) Screening Result
542 GIKEN SAKATA (S) LIMITED 5/11/2014 Bullish 0.305 12355 MACD Cross-Up Signal
BS6 YANGZIJIANG SHIPBLDG HLDGS LTD 5/11/2014 Bullish 1.16 11659 MACD Cross-Up ZeroLine
B9S COSMOSTEEL HOLDINGS LIMITED 5/11/2014 Bullish 0.37 7255 MACD Cross-Up Signal
EB7 KTL GLOBAL LIMITED 5/11/2014 Bullish 0.142 2436 MACD Cross-Up ZeroLine
L6T PSL HOLDINGS LTD. 5/11/2014 Bullish 0.16 1875 MACD Cross-Up ZeroLine
B2F M1 LIMITED 5/11/2014 Bullish 3.64 1593 MACD Cross-Up ZeroLine
E3B WEE HUR HOLDINGS LTD. 5/11/2014 Bullish 0.38 999 MACD Cross-Up ZeroLine
MC0 GLOBAL LOGISTIC PROP LIMITED 5/11/2014 Bearish 2.69 13810 MACD Cross-Down ZeroLine
S3N OKH GLOBAL LTD. 5/11/2014 Bearish 0.56 5082 MACD Cross-Down Signal
N2IU MAPLETREE COMMERCIAL TRUST 5/11/2014 Bearish 1.41 2473 MACD Cross-Down ZeroLine
5UO SYSMA HOLDINGS LIMITED 5/11/2014 Bearish 0.265 2231 MACD Cross-Down Signal
M1GU SABANA SHARI’AH COMPLIANT REIT 5/11/2014 Bearish 0.99 1060 MACD Cross-Down Signal
RF1U RELIGARE HEALTH TRUST 5/11/2014 Bearish 0.98 1037 MACD Cross-Down Signal
J85 CDL HOSPITALITY TRUSTS 5/11/2014 Bearish 1.68 876 MACD Cross-Down Signal
SK6U SPH REIT 5/11/2014 Bearish 1.05 746 MACD Cross-Down Signal
568 BAKER TECHNOLOGY LIMITED 5/11/2014 Bearish 0.255 723 MACD Cross-Down Signal

 

 

 

Essentials of Trading : News

Reacting to news, one thing in trading is everyone always ask around of what is going to happen. When something publish on the newspaper, everyone will react to it. How many times after you response to the good news and the stock turns bad. This is so true that, if you will stand aside a watch the whole episode, you will easily figure out. The news is target for profit taking.

Do not forget the price time chart has factor in all the fundamental, emotion and others.

 

 

To read more on other posting:

1)  Falcon Energy 5FL

2) Stocks Market Lead the Economy? STI

3)  Free MACD Scan, 26 September 2014

 

 

Stock trading is not a get rich quick scheme.

Thanks for visiting the site, AmiBrokerAcademy.com.

Moses

 

DISCLAIMER

Information provided here is of the nature of a general comment only and no intend to be specific for trading advice. It has prepared without regard to any particular investment objectives, financial situation or needs. Information should NOT be considered as an offer or enticement to buy, sell or trade.

You should seek advice from your broker, or licensed investment advisor, before taking any action.

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Trading is personal. You are responsible for your own trading decision.

The comment is the author personal experience. There is no intent for your believe and follow.