MACD smooth moving average convergence and divergence is a stock technology, which is a trend indicator based on the construction principle of moving average and smoothing the closing price (calculating arithmetic average). Specifically, it is a fluctuation index of moving average, but it does not use ordinary moving average, but calculates the cumulative difference between long-term and medium-term smma (EMA The MACD chart shows two graphs, one is the solid line, that is, the MACD line, and the other is the dotted line, that is, the moving average line of MACD. The gap between the MACD line and the trigger line can be drawn as a columnar vertical graph with zero (0) as the central axis. The positive and negative symbols of the columnar vertical graph indicate which MACD line and the trigger line are above and which is below, which is the best opportunity to judge the business.

MACD calculates the deviation between two indexes with different speeds according to smma as the basis of market judgment. In fact, MACD uses the convergence and separation of fast and slow lines to judge the timing and signal of buying and selling. MACD uses lagging moving average indicators to show trend characteristics. When the short moving average is subtracted from the long moving average, these lagging indicators become momentum oscillators. In this way, it constructs an oscillation line that swings up and down on the zero line, and there is no limit to the up and down amplitude. In practice, the MACD indicator not only has a bargain-hunting function (when the price deviates from the MACD), but also captures a strong rising point (when the MACD turns red for the second time in a row), and captures the best selling point to help investors successfully escape from the top. Common ways to escape from the roof are:

1, the stock price is sideways, and the MACD indicator is sold. It means that the stock price has been sideways after a sharp rise, forming a relatively high point, and the MACD indicator is the first to appear dead fork. Even if there is no dead fork on the 5 th and the 10 moving average, it is necessary to lighten up the position in time.

2. If the stock price does not plummet after the MACD indicator is dead, but rises again after the callback, it is often the last time the main force rises to cover the shipment, and the height is extremely limited. The high point formed at this time is often the highest point of a wave of market. The sign at the top of the judgment is the deviation of "price and MACD", that is, when the stock price hits a new high, but the MACD fails to hit a new high at the same time, the two trends deviate, which is a reliable signal that the stock price peaks.