MACD

MACD (Moving Average Convergence Divergence) is one of the most commonly used indicators. Its popularity results from the ease of interpretation and the possibility of using the indicator both in the period of stabilization and clear increases or decreases in prices.




The buy signal (B) is generated when the MACD hits the bottom and 12 period moving average crossed and  is above 26 period MA.
The sales signal (S) is generated when the MACD raises to the top and 26MA crossed and is above 12MA.
The buy signal should be generated below the zero level and the sales signal above this level.

To understand it better, check out this video:

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