MACD Indicator: How to See Market Momentum Shift.

MACD is one of the simplest yet most powerful indicators designed to show the pace of market movement. I use it all the time. It doesn’t predict the future but reveals where momentum is building or fading.

MACD measures the difference between two moving averages (fast and slow). When momentum accelerates, the lines diverge. When energy fades, they converge.

Key Signals:

 • Line crossover = possible phase shift.

 • Divergence from price = early warning of potential reversal.

Remember, MACD doesn’t work alone. It shows the moment, not the context. Professionals read MACD together with trend direction and market structure.

Common Mistakes:

 • Using crossovers without trend analysis.

 • Trading signals in sideways markets.

 • Forgetting psychology: no indicator can save you if you trade from fear or greed.

MACD helps you feel the market’s breath. But only a calm mind can truly sense the impulse.