Free to the entire trading community: Get my "Cycle Indicator" tutorial at go.topdogtrading.com/freetrainingclass BE CAREFUL OF COMMENTS BELOW! Scammers are getting much worse!! They are using my name and logo in comments to trick you. DO NOT EVER send money to someone from the comments, DMs, discord, telegram, or WhatApp. Long comment threads of "people" (bots) giving names of people making them lots of money are FAKE! 😡
Momentum is important because it means there is more likelihood the market will continue in the direction it is going - hard to stop a fast train. If no momentum, it can reverse more easily
I rely on MACD to give trend change through slow indicator over or below fast indicator and use histogram for strength of direction. It’s useful to me in that way.
Very good explanation. You are the one who clearly makes a distinction between a change in momentum and a change in price direction! If the momentum weakens that doesn't necessarily mean the (short term trend) or price direction also immediately changes! It can easily be a retracement or pullback or not even that. That is why the MACD is such a smart indicator. But you have to know how to use it correctly. Indeed MACD is not a trend indicator.
I really appreciate your thoughtful feedback! It’s great to see that the nuances of momentum and price direction resonate with you. Keep up the great work with your trading!
Looking forward to part 2! Every video i learn something valuable! I'll say this Again, you have forgot more about trading than most people know! Oh and I'm going to pick up that quick $18 course soon. Thanks barry! Are you going to touch on the signal line in part 2? Have you done a part 2 on tick charts? Is it true that trading view doesn't have tick charts? If so what site do you use? Your the best!
Understand how that can be confusing, but as you see in the video, the 12 doesn't always move away from the 26 just because it's faster, which is really the point of the indicator.
This video ALONE made me a subscriber! I love how you explained this in a way that makes sense based on the fundamentals of what this indicator was designed to do. I hope one of my videos can help you in some way so I can return the Good Vibes!
Absolutely fascinating video. I am very sad that you obviously left out key data. How do you calculate these figures for example. Another obvious question is what the acceleration of the market has to do with value? I have been basically a buy low sell high guy for my couple of years in the market and this has served me pretty well. Look forward to a video that answers more of these questions.
Great suggestion! I intentionally only focus on one topic at a time to keep the videos short, thus the disclaimer on all my videos at the beginning, that they are not representing a complete trading system.
Free to the entire trading community: Get my "Cycle Indicator" tutorial at go.topdogtrading.com/freetrainingclass
BE CAREFUL OF COMMENTS BELOW! Scammers are getting much worse!! They are using my name and logo in comments to trick you. DO NOT EVER send money to someone from the comments, DMs, discord, telegram, or WhatApp. Long comment threads of "people" (bots) giving names of people making them lots of money are FAKE! 😡
Thank you Fred, much appreciated
Haven't seen a better explaination. Well done.
I’m glad you found the explanation helpful! Understanding the MACD can really make a difference in trading.
Finally - a great explanation, and now I know why it is not a trend indicator. Thanks
I'm glad the explanation helped clarify things for you! Understanding the nuances is so important.
A WONDERFUL tutorial on MACD! All this time I thought it was a trend indicator, and now I see it is a momentum indicator. Who knew?
Glad the training was so helpful for you Jeffrey.
Wow, you're just a great teacher. I didn't know MACD measures acceleration. Thank you Dr. Burns
Thank you for the kind words and happy to help Richard!
Thanks Barry, always informative and entertaining
You're very welcome Trevor
Momentum is important because it means there is more likelihood the market will continue in the direction it is going - hard to stop a fast train. If no momentum, it can reverse more easily
Exactly right Zachary!
I rely on MACD to give trend change through slow indicator over or below fast indicator and use histogram for strength of direction. It’s useful to me in that way.
Glad to hear it's working for you MIlton.
Very good explanation. You are the one who clearly makes a distinction between a change in momentum and a change in price direction! If the momentum weakens that doesn't necessarily mean the (short term trend) or price direction also immediately changes! It can easily be a retracement or pullback or not even that. That is why the MACD is such a smart indicator. But you have to know how to use it correctly. Indeed MACD is not a trend indicator.
I really appreciate your thoughtful feedback! It’s great to see that the nuances of momentum and price direction resonate with you. Keep up the great work with your trading!
Great explanation
Glad it was helpful!
Thank you Barry! You are accelerating my knowledge 😊
Glad to be helpful Magnus.
Yep. I only ever use the histogram.
I'll be covering the histogram in the next video!
@@TopDogTrading Thought you might be :).
Looking forward to part 2! Every video i learn something valuable! I'll say this Again, you have forgot more about trading than most people know!
Oh and I'm going to pick up that quick $18 course soon.
Thanks barry!
Are you going to touch on the signal line in part 2?
Have you done a part 2 on tick charts? Is it true that trading view doesn't have tick charts? If so what site do you use?
Your the best!
Well explained Barry! Thankyou for taking the time to educate traders
Much appreciated Michael.
Good day sir, I am curious what is the difference between MACD bullish cross above and below the zero line. Thanks
I've never thought about MACD in this way! Thank you! One question: 12-26-9 is the best combination for MACD? What do you think?
Glad the video was so helpful Iana. Those are the traditional settings, but there is no "BEST" combination.
linda raschke used 3/10/16
MACD tells you Momentum as the gap between the MAs shows the faster MA is ahead of the slower
You got it my friend!
Brilliant explanation!
Thank you so much! I'm glad you found the explanation helpful.
It's measuring the distance being created between the fast and slow moving lines.
You got it!
I use Impulse MACD for trend and volume, and to avoid entering sideways moving market...
Does convergence or divergence mean that it’s accelerating or decelerating?
Yes, absolutely
No. It refers to whether the two averages are converging or diverging.
So many questions……. Divergence is acceleration and convergence is deceleration? Given that the 12 moves faster than the 26.
Understand how that can be confusing, but as you see in the video, the 12 doesn't always move away from the 26 just because it's faster, which is really the point of the indicator.
@@TopDogTrading the video example I would describe as “coasting” when MAs stay parallel (ish).
How about breakout strategy? Can you explain more details about it❤
I did a video on breakout trading here: th-cam.com/video/B_4jWXY2npY/w-d-xo.htmlsi=8MAgWLBH43B91nNE
@@TopDogTrading thank you bro 🤝🍀
❤ very good explanation
Glad you liked it
This video ALONE made me a subscriber! I love how you explained this in a way that makes sense based on the fundamentals of what this indicator was designed to do. I hope one of my videos can help you in some way so I can return the Good Vibes!
Awesome! Thank you!
Thanks Barry for the information
I'm glad you found the information helpful!
Fundamental (perhaps stupid) question. How does it help if the 9 EMA is moving away from the 26 EMA? Ps. I am a beginner in technical studies.
Not a stupid question at all. It shows that price action is accelerating in the direction it's moving.
Absolutely fascinating video. I am very sad that you obviously left out key data. How do you calculate these figures for example. Another obvious question is what the acceleration of the market has to do with value? I have been basically a buy low sell high guy for my couple of years in the market and this has served me pretty well. Look forward to a video that answers more of these questions.
Great suggestion! I intentionally only focus on one topic at a time to keep the videos short, thus the disclaimer on all my videos at the beginning, that they are not representing a complete trading system.
Thank's a lot, friend. Great job!!!
Many thanks!!
Momentum, or price acceleration. When is part 2 coming?
Very soon Rob, probably the next day or two.
I told you Dr Burns was the best..
LOL! Thank you Cedric!
you are a Jenius!
Exactly, LOL!
Why bother with MACD - you can easily see C/D with 2 moving averages. MACD is just another thing to clutter up your screen.
Thanks for sharing your perspective! It's always interesting to hear different approaches to trading.
Nothing new