Studies: MACDs in the B-Line template change


Q: I currently use Buffy's template. One of the issues that I am finding is that when I have 3 mancds overlayed one on top of the other, their respective positions actually shift and change when I expand or contract the scale on the chart (by right clicking and dragging on the scale to make the candles bigger). As you can imagine, this is extremely confusing to me as I have no idea if what I am looking at is correct.

A: The MACDs are plotting on independent scales and those scale ranges are changing as each MACD spread puts in higher or lower extremes.  Changing the scale it plots on is causing its image to change.  The idea to force all to plot on the same scale is unacceptable because if the scale were set to handle the widest range, the others might plot so flat you would not see any height.  I do not have a solution.  

I suggest you change your interpretation of the overlayed MACDs.  Look at each for the pattern they make, and not for the relative position of being above or below each other.  The only scale point they share in common is the zero line in the middle of the panel.  All above zero or below zero is a consistent interpretation, but above or below each other is circumstantial, subject to change as the scale range changes. 

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Last modified 10/2/07 8:56 PM