This is a macd of wpr, it is using wpr for prices instead of regular prices.
What makes this different to the original MACD?
The MACD of WPR responds more quickly. The original MACD is laggy and although produces smooth results, it's almost always too late to use it for entries especially on lower timeframes.
When the MACD uses the WPR for prices, the data has already been pre-filtered to highlight momentum extremes. When comparing both side-by-side you can see that the MACD of WPR has:
- Better signals and earlier divergences
- Predicts overbought/oversold momentum swings that the MACD can't see
- Reduced lag
- Knows the structure of the "range" and it catches better reversals