MACD Settings

MACD Parameters

With MACD you need to set three parameters:

Popular MACD Settings

The most widely used values for these three are: 12, 26, 9:

This is what you will most likely find as default in your charting software.

Best MACD Settings

People often ask which particular MACD settings are the best / most profitable. The answer can’t be anything else than: It depends – on the market you are analyzing or trading with the MACD, your time horizon, and trading style. However, changing the 3 MACD parameters does generally not play very significant role (unless you change it to something like 3, 100, and 40 of course).

Sensitivity of MACD to Different Settings

Changing the difference, or rather the ratio of the first two parameters (longer and shorter price EMA period) usually has the biggest impact on the looks of the MACD, as it directly affects the behaviour of the distance between the two exponential moving averages (the MACD line value). The greater the difference between the two periods, the more volatile the MACD will look.

Try Different MACD Settings and See Lots of Charts

The best way how to become familiar with MACD and its looks and behaviour with different settings and in different market environments is to spend some time playing with it, changing the settings, and looking at lots of charts.

Related pages

norm s distshort put payoff diagramthe formula for finding the sample mean isformula for mean variance and standard deviationblack scholes stock option calculatorformula for average deviationmacd indicatorsoptions vs futures advantagesvix futures tickerdefine macddelta formulashow to calculate arithmetic average returnformula for standard deviation in excelnormsdist formulavix tickervix graphavco methodvix fundexcel formulas for calculationtvix prospectusxxv vxxgeometric mean return calculatorsimple exponential smoothing calculatorblack scholes formulaskewness kurtosis normal distributionstrangle strategy examplesaverage standard deviation calculatorsquaring a negative numberdefine squaringputting in excel formulascontango explainedstd dev calculatoroptions futures and other derivatives 8thcoefficient of skewness formulawhat does sharpe ratio meanexample of skewnessotm stocklog formula excelyahoo finance csv downloaddouble vix etfoption greek deltablack and scholes formulakurtosis explanationdefault font notepadwhat does vix measureinverse s&pcalculating geometric averageterm structure of implied volatilitymoment coefficient of kurtosiswhat does vix meanmacd signalsexcel norm distweighted average inventory costingannualize daily returnspercent relative standard deviation calculatorintrinsic value of put option formulasynthetic straddlederivation of standard deviation formulasharpe ratio explaineddelta formula mathdelta otcmarket breadthexcel sharpe ratiocost variance calculatorblack scholes greekwhat happens when a call option expiressimple moving average vs exponential moving averagedelta hedgehow to calculate delta of an optioncalculate mean variance and standard deviationvolatile stocks meaningwhat is the formula for dividend yieldnegative sharpe ratio interpretationformula waccform 13f faqformula for sample variance statisticstatistics skewsample size standard deviation calculatorshort straddle positionhow is the dow jones calculatedoption payoff diagram