Traders' Roundtable

Posted: **Wed Aug 15, 2007 8:47 am**

I'm trying to Code a MACD2 system. I noticed the MACD indicator has a smoothing option. Is this the same the EMA of the MACD? for example:
MACD2 using 12, 26, and 9.

MACD1 = EMA(12) - EMA(26)
MACD2 = MACD1 - 9 day EMA of the MACD1

Can I set:
long moving average to 26
short moving average to 12
smoothing to 9

Posted: **Fri Aug 17, 2007 3:16 am**

Hi,

MACD-Line=EMA(12)-EMA(26)
Signal-Line=EMA(MACD-Line,9)
Normally the crossover of the MACD-Line and the Signal-Line make a good trading rule. It is the standard system. See Elder, Trading for a Living and Elder, Come into my trading room.

ADMP