What does the length of macd red and green column represent?

The continuous rise of the red bar indicates that the kinetic energy of doing more is increasing, and the gradual shortening of the red bar indicates that the kinetic energy of doing more is weakening. The continuous growth of green bars indicates that the short-selling kinetic energy is increasing, and the gradual shortening of green bars indicates that the short-selling kinetic energy is decreasing.

The MACD red column indicates that the stock price rises at a low level or further, and the bulls accumulate, which is a buying signal. The MACD green column indicates that the stock price falls back at a high level or further, and the short position accumulates, which is a selling signal. The red and green columns in the MACD indicator cannot be infinitely enlarged or infinitely reduced.

MACD is red and green. When DIFF is greater than DEA, the distance between DIFF and DEA is red, and when DIFF is less than DEA, it is green.

Calculation process

1, calculate the moving average (EMA)

The formula of 12 moving average is

EMA( 12)= EMA of the previous day (12) ×113+today's closing price ×2/ 13.

The formula of the 26-day moving average is

EMA(26)= previous day EMA(26)×25/27+ today's closing price ×2/27.

2. Calculate the deviation value (DIF)

DIF= Today's EMA (12)- Today's EMA (26)

3. Calculate the 9-day moving average of DIF.

According to the deviation value, the EMA of 9 days, which is the average deviation value, is the required MACD value. To avoid confusion with the original name of the index, this value is also called DEA or DEM.