MACD-V

MACD-V restates MACD momentum in volatility units: the 12/26 EMA spread is measured against a 26-period average true range and scaled to a percentage, then given the familiar 9-period signal line plus histogram — a faithful build of Alex Spiroglou's MACD-V. Readings are denominated in the symbol's own volatility, so the pane carries a fixed map: dashed borders at ±50 frame the neutral zone and ±150 the overextension zones, on any symbol or timeframe.

How to Trade the MACD-V?

• Signal cross outside the neutral zone: crosses beyond ±50 are the higher-conviction events; a dedicated alert skips the noise-prone crosses inside the band.
• Zero-line cross: a positive reading puts the fast EMA back on top of the slow one — the momentum side flipped.
• Overextension entry: beyond ±150 a move has outrun its own typical bar — exhaustion risk, not an automatic fade; the unwind back through the border is its own event.
• Histogram shading: bright columns mark a still-widening gap to the signal line, faded columns a gap already narrowing.

The universal scale also makes readings comparable across a watchlist — the same thresholds everywhere, no per-symbol recalibration.

MACD-V Settings

• Source (default close).
• Fast Length (default 12) and Slow Length (default 26): the classic MACD engine.
• ATR Length (default 26): the Average True Range the spread is divided by; the published default matches the slow average.
• Signal Length (default 9): EMA of MACD-V forming the signal line.
• Overextension + / Overextension - (defaults 150 / -150) and Neutral Zone + / Neutral Zone - (defaults 50 / -50): the fixed lifecycle borders.
• Style toggles: Show Histogram (on) and Gradient Fill (on).

Frequently Asked Questions

What does the ATR division change versus classic MACD?

The classic MACD is denominated in price, so its numbers travel poorly between symbols and eras. Dividing the same EMA spread by ATR makes the reading a pure number — which is what lets fixed levels like ±150 exist at all. Signal line, histogram and zero-line logic carry over unchanged.

Why do readings shrink when volatility spikes?

The denominator grows. Whenever true range widens more quickly than the EMA spread, the quotient shrinks — deliberately: momentum is scored against the prevailing volatility backdrop, not as absolute speed.

Should the ±50 and ±150 borders be retuned per market?

The normalization exists so they should not need to be. The published conventions were framed around the default 12/26/26/9 lengths, so if the levels look off, check the lengths before moving the borders; the further the borders drift from convention, the less the standard map means.