I found putting the RSI (3) or Williams % Range (14) superimposed over the MACD on the same graph with the levels marked at 05/95 helps keep me to place entries more successfully when the RSI / W % R is below / above these levels respectively and always
after the MACD divergence signal appears.
The first trading setup
after MACD crosses the zero line has the highest chance of success.
Not exact matches
They move similar to
MACD lines, and big moves occur before and
after they cross each other.
The trajectory of the
MACD is upward
after the index generated a buy signal in early August.
(
MACD actually gave a good exit signal here too, if you were to use a trailing stop below the low of each day
after the sell signal on 6 November 2007.)
Traders can consider paying attention to price bars for entry signals
after using
MACD to understand the context.
The daily chart shows the RSI bounce off of the mid line and firmly in the bullish zone with the
MACD level
after resetting lower.
The RSI is rising and at that technically overbought level with a
MACD that is rising
after just crossing up.
The RSI on the daily chart is holding
after moving into the bullish zone with the
MACD rising.
However
MACd, RSI, and Stochastic are all heading northbound
after the price touched the $ 9,700 region.