MACD is calculated as a difference of two moving averages : a fast average – slow average. And that is about it. This is a completely different version : tit is a MACD of two momentum (fast and slow momentum). Even though the idea is strange, the results are logical and acceptable and can be used for trading decisions
Usage :
It can be used as “regular” macd too – zero crosses or slope direction can be used for signals
PS: for those checking the code – there is a “strange” thing in the calculation. And no – it is not an error 🙂 That way the results are acceptable
