MACD

Moving Average Convergence Divergence (MACD), created by Gerald Appel in the late 1970s, is a technical indicator that generates buy and sell signals. Securities traders use it to enter and exit positions. Values of MACD are displayed on a separate chart from the price of a security, usually in a window above or below the price chart. The MACD x-axis is the same as the price chart, e.g., daily, hourly, etc., but values of MACD on the y-axis are much smaller and oscillate around a value of zero, making it more practical to show the study in a separate window.
Upper Chart:
12-day EMA = Purple line
26-day EMA = Green line
Lower Chart:
MACD line = Blue line
Signal line = Orange line
Histogram = Pink line
Zero = Gray line