High winning rate MACD breakthrough strategy: Accurately grasp the trading opportunities

High winning rate MACD breakthrough strategy: Accurately grasp the trading opportunities

In the trading market, capturing the right entry time is the key to making a profit. So today we will share a trading strategy that can provide entry and exit signals – MACD breakthrough strategy.

This is a trading strategy based on MACD indicators. It identifies potential turning points in the trend by analyzing changes in MACD indicators and looks for trading opportunities for entry and exit.

How to analyze MACD indicators?

The position of the MACD fast and slow line

Focus on whether the MACD fast and slow line is close to the 0 axis and is wound, which usually indicates that the market is adjusting and a trend change may be imminent. If the fast and slow line is far away from the 0 axis, it means that the current trend momentum is strong, but it may be close to the end and is not the best time to enter.

change of energy column

Observe the distribution of MACD energy columns near the 0 axis, and small amounts show that the market momentum has not been over-consumed, and the market still has potential. If the energy column is too large, it may indicate a risk of a pullback or rebound.

Breakthrough in price and pattern

When the MACD quantity column shrinks and the moving average is wound around the 0 axis, the market is in a long-short equilibrium state. At this time, if the price can break through the important resistance or support level in the previous period, accompanied by the effective amplification of trading volume, and the K-line chart shows classic consolidation patterns such as triangles and flags that are broken through, it is considered a clear entry signal, indicating a change in market trend.

MACD breakthrough strategy requires traders to have a keen insight into market dynamics and understand technical indicators, so that they can quickly identify signals of market changes, make wise trading decisions at critical moments, and improve their trading success rate.