The MACD indicator is versatile and can be used on any timeframe, from 1-minute charts to weekly charts. The choice of timeframe largely depends on your trading style and strategy.

The MACD centerline is where the values of the two EMAs used to compute the MACD (12-day and 26-day) are equal. When the MACD line crosses the centerline from below, it's a bullish signal.

(Created using FXCM’s Marketscope 2.0 charts) Learn Forex – EURGBP with MACD (Created using FXCM’s Marketscope 2.0 charts) ---Written by Walker England, Trading Instructor ...

Using the standard 12-26-9 setting, we get the following result: The standard MACD strategy based on the S&P 500 has, even before costs, underperformed significantly.