MTF MACD is a MetaTrader indicator based on well-known MACD. Moving Average Convergence / Divergence is a technical analysis indicator created by Gerald Appel in the 1960s. It shows the difference between a fast and slow exponential moving average (EMA) of closing prices. Additionally, it has a signal line which is a simple moving average (SMA) of the main value of the indicator. MACD is a trend following indicator and is designed to identify trend changes. It’s generally not recommended in ranging market conditions.
In MetaTrader, we have MACD already included as a standard technical indicator. However, it can be used only for the current timeframe. When we are looking for a trend, it is very desirable to have MACD showing higher timeframes. MTF MACD presented here has an additional parameter – TimeFrame. You can use it to set up a higher timeframe from which MACD will calculate its values. Because values are derived from bars, you will notice the rough shape of indicator lines when using higher timeframes.
MTF MACD settings:
Default value is 0 – means current timeframe. For other timeframes: 1=M1, 5=M5, 15=M15, 30=M30, 60=H1, 240=H4, 1440=D1, 10080=W1, 43200=MN1
The default value is 12. This is a fast exponential moving average.
The default value is 26. This is a slow exponential moving average.
The default value is 9. This is a signal line and it is a simple moving average.
The default value is 0 – which means the Close price used for MA calculations. For other types of price: 0-CLOSE, 1-OPEN, 2-HIGH, 3-LOW, 4-MEDIAN, 5-TYPICAL, 6-WEIGHTED.
The default value is 0. This parameter shifts the whole indicator by the Shift number of bars from the set timeframe to the right on the chart.