Mt4 bar macd indicator to display the price over or under the zero level

The MT4 Bar MACD Indicator is a popular technical analysis tool used by traders to identify trend direction, momentum, and potential trend reversals. The indicator is based on the Moving Average Convergence Divergence (MACD) and plots the difference between a 26-period and a 12-period exponential moving average (EMA) on a chart, along with a 9-period EMA signal line.
One of the key features of the MT4 Bar MACD Indicator is the ability to display the price over or under the zero level, which can provide valuable insights into the strength of a trend and potential reversal points. In this article, we will explore how to use the MT4 Bar MACD Indicator to display the price over or under the zero level and how traders can use this information to make better trading decisions.

Understanding the MACD Indicator
Before we dive into how to use the MT4 Bar MACD Indicator to display the price over or under the zero level, it's important to understand how the MACD Indicator works. The MACD Indicator is calculated by subtracting the 26-period EMA from the 12-period EMA. The result is then plotted on a chart, with a signal line that is a 9-period EMA of the MACD line.
When the MACD line crosses above the signal line, it is considered a bullish signal, indicating that the trend may be shifting from bearish to bullish. Conversely, when the MACD line crosses below the signal line, it is considered a bearish signal, indicating that the trend may be shifting from bullish to bearish.
In addition to generating buy and sell signals, the MACD Indicator can also be used to identify trend direction and strength. When the MACD line is above the zero level, it indicates that the trend is bullish, and when it is below the zero level, it indicates that the trend is bearish. The distance between the MACD line and the zero level can also provide insights into the strength of the trend.

Displaying the Price Over or Under the Zero Level
The MT4 Bar MACD Indicator allows traders to display the price over or under the zero level, which can provide additional insights into the strength of the trend and potential reversal points. To display the price over or under the zero level, traders need to adjust the settings of the MT4 Bar MACD Indicator.
To do this, traders need to open the MACD Indicator settings and select the "Levels" tab. From there, they can adjust the "Upper Level" and "Lower Level" values to display the price over or under the zero level. For example, if a trader wants to display the price over the zero level, they can set the "Upper Level" to 1 and the "Lower Level" to 0. Conversely, if they want to display the price under the zero level, they can set the "Upper Level" to 0 and the "Lower Level" to -1.
Once the settings are adjusted, the MT4 Bar MACD Indicator will display the price over or under the zero level on the chart. This can provide traders with valuable insights into the strength of the trend and potential reversal points.

Using the Price Over or Under the Zero Level to Make Trading Decisions
Now that we understand how to display the price over or under the zero level using the MT4 Bar MACD Indicator, let's explore how traders can use this information to make better trading decisions.
When the price is above the zero level, it indicates that the trend is bullish, and when it is below the zero level, it indicates that the trend is bearish. Traders can use this information to identify potential buy and sell opportunities.
For example, if the price is above the zero level and the MACD line crosses above the signal line, it can be a signal to buy. Conversely, if the price is below the zero level and the MACD line crosses below the signal line, it can be a signal to sell.
Traders can also use the distance between the MACD line and the zero level to identify the strength of the trend. When the MACD line is far above or below the zero level, it indicates that the trend is strong. When the MACD line is closer to the zero level, it indicates that the trend is weaker.
Traders can also use the price over or under the zero level to identify potential reversal points. For example, if the price is above the zero level and the MACD line is far above the zero level, it may indicate that the trend is becoming overextended and a reversal may be imminent. Similarly, if the price is below the zero level and the MACD line is far below the zero level, it may indicate that the trend is becoming overextended and a reversal may be imminent.
When using the MT4 Bar MACD Indicator to display the price over or under the zero level, it's important to keep in mind that it is just one tool in a trader's toolbox. Traders should always use multiple technical indicators and analysis techniques to confirm their trading decisions and minimize the risk of false signals.

Two Trading Strategies Using the MT4 Bar MACD Indicator
Now that we understand how to use the MT4 Bar MACD Indicator to display the price over or under the zero level, let's explore two trading strategies that traders can use with this indicator.
Strategy 1: MACD Crossover
The MACD Crossover strategy is one of the most popular trading strategies used by traders. It involves using the crossover of the MACD line and the signal line to generate buy and sell signals.
To use this strategy with the MT4 Bar MACD Indicator, traders should look for a bullish crossover of the MACD line and the signal line when the price is above the zero level. This can be a signal to buy. Conversely, traders should look for a bearish crossover of the MACD line and the signal line when the price is below the zero level. This can be a signal to sell.
Traders should also look for confirmation from other technical indicators and analysis techniques to confirm their trading decisions.
Strategy 2: Divergence Trading
Divergence trading is another popular trading strategy that traders can use with the MT4 Bar MACD Indicator. It involves looking for divergences between the price and the MACD Indicator to identify potential trend reversals.
To use this strategy, traders should look for a bullish divergence between the price and the MACD Indicator when the price is below the zero level. This can be a signal that the trend is about to reverse and turn bullish. Conversely, traders should look for a bearish divergence between the price and the MACD Indicator when the price is above the zero level. This can be a signal that the trend is about to reverse and turn bearish.
Traders should also look for confirmation from other technical indicators and analysis techniques to confirm their trading decisions.