MACD, short for Moving Average Convergence Divergence, is an indicator used to track trend and momentum. It compares two exponential moving averages and plots the difference as the MACD line alongside a signal line. A crossover above the signal line may indicate strengthening momentum, while a crossover below may indicate weakening momentum. Because MACD uses past prices, it can confirm a trend only after it has begun. Explore trading with Solflare.