MACD (Moving Average Convergence Divergence)
Trend-following momentum from the gap between a fast and a slow moving average.
Technical indicators
Live NSE examples below
What is MACD?
MACD, developed by Gerald Appel, tracks the difference between a fast (12-day) and a slow (26-day) exponential moving average of price. When the fast average pulls away above the slow one, upward momentum is building; when it falls back, momentum is fading. A 9-day average of MACD itself, the signal line, turns those swings into crossover signals.
Formula
MACD line = EMA(12) of close − EMA(26) of close
Signal line = EMA(9) of the MACD line
Histogram = MACD line − Signal line
How to read it
- MACD crossing above its signal line is a bullish crossover; crossing below is bearish.
- Where the cross happens matters. Below the zero line it is an early reversal signal; above zero it is trend continuation.
- The histogram shrinking toward zero shows momentum slowing before the lines actually cross.
- MACD above zero simply means the 12-day EMA is above the 26-day EMA, a short-term uptrend.
Common mistakes
- Trading every crossover in a sideways market. MACD whipsaws when there is no trend, so pair it with ADX above 20 to filter.
- Comparing MACD values across stocks. The raw number is in rupees and scales with the share price; only its sign and crossovers compare.
Live: NSE stocks matching this today
MACD bullish crossovers today 272
| Stock | Change % | MACD line | MACD signal |
|---|---|---|---|
| 3MINDIA3M India Limited | +1.85% | -306.12 | -502.55 |
| ABBOTINDIAAbbott India Limited | -1.14% | -109.14 | -292.38 |
| APARINDSApar Industries Limited | +0.46% | 508.67 | 450.27 |
| HONAUTHoneywell Automation India Limited | -2.14% | -709.04 | -745.56 |
| ALKEMAlkem Laboratories Limited | -1.88% | -37.50 | -71.03 |
| FOSECOINDFoseco India Limited | -0.52% | 278.83 | 250.78 |
| SCHAEFFLERSchaeffler India Limited | -2.36% | -1.56 | -24.57 |
| ICICIAMCICICI Prudential Asset Management Company Limited | +0.03% | 1.69 | -19.73 |
MACD bearish crossovers today 239
| Stock | Change % | MACD line | MACD signal |
|---|---|---|---|
| SOLARINDSSolar Industries India Limited | +3.83% | -48.00 | 339.17 |
| PTCILPTC Industries Limited | -2.21% | 753.70 | 965.78 |
| KENNAMETKennametal India | +1.56% | 186.27 | 279.98 |
| CRAFTSMANCraftsman Automation Limited | -1.19% | 201.41 | 292.80 |
| MTARTECHMtar Technologies Limited | -2.59% | 70.89 | 113.00 |
| CPPLUSAditya Infotech Limited | +3.79% | -14.15 | 25.85 |
| KINGFAKingfa Science & Technology (India) Limited | +4.02% | 77.79 | 114.51 |
| DATAPATTNSData Patterns (India) Limited | -0.03% | -13.45 | 19.02 |
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Frequently asked questions
Is MACD a leading or lagging indicator?
Lagging. It is built from moving averages, so it confirms a move that has started rather than predicting one. The histogram and divergences are its most forward-looking parts.
Related concepts
RSI (Relative Strength Index)A 0-100 momentum oscillator: how strong recent up-moves are compared with down-moves.Moving averages (SMA, EMA, 50 and 200 DMA)The average closing price over a window, used to define the trend.ADX (Average Directional Index)Measures how strong a trend is, whatever its direction.Bullish and bearish divergencePrice and an indicator disagreeing about the trend's strength.
