What Does A Positive MACD Mean During A Correction?
I have answered this issue several times in the last day or two, but some think I am simply ignoring the issue.
Some believe that just because a daily MACD turns up and goes positive it suggests that the correction is over. Well, PLEASE look at how the market reacted at the 2nd waves off the February 2016 lows . . . each time, the MACD turn positive, yet the correction was not yet over.
Again, this is TYPICAL of how the daily MACD is supposed to present during the correction, and is not suggestive that the correction is over. While it is still "possible" we can see 2500SPX again, it is certainly not purely because the MACD on the daily chart is turning up. At this point, I think it is an irrelevant point. And, btw - we have yet to even turn positive on the daily yet.