StockVyze

What It Detects

Stocks with:

MACD line crossing above signal line (bullish crossover)
Price in uptrend (above 200-day MA)
Momentum shifting positive
Early entry before big move

The Formula

cross_above(macd(), macd_signal()) and c > sma(200)

How It Works

cross_above(macd(), macd_signal()) - MACD line just crossed above its signal line
c > sma(200) - Price is above 200-day moving average (uptrend)

This catches the exact moment momentum turns positive in a trending stock.

When to Use

Best for:

Swing trading (hold 2-6 weeks)
Catching trend resumption after pullback
Medium to long-term trend following
Lower-frequency trading

Avoid when:

Choppy, sideways markets (false signals)
Very short-term trading (too slow)
Stocks in downtrend (catches dead cat bounces)

MACD Basics

Components:

MACD Line: 12-day EMA - 26-day EMA
Signal Line: 9-day EMA of MACD
Histogram: MACD - Signal

Crossover:

Bullish: MACD crosses above Signal → buy signal
Bearish: MACD crosses below Signal → sell signal

Parameters You Can Tweak

Strong Trend Only

cross_above(macd(), macd_signal()) and c > sma(200) and sma(50) > sma(200)

Adds 50-day > 200-day filter
Only trades strongest uptrends

With Volume Confirmation

cross_above(macd(), macd_signal()) and c > sma(200) and v > sma(v, 20) * 1.5

Requires 1.5x volume on crossover day
More reliable signals

Large Caps Only

cross_above(macd(), macd_signal()) and c > sma(200) and market_cap > 10B

Focus on liquid, institutional stocks
Smoother trends, fewer fakeouts

Add Price Confirmation

cross_above(macd(), macd_signal()) and c > sma(200) and c > sma(20)

Price must be above 20-day MA
Confirms short-term momentum

Example Columns to Add

Price: c
MACD: macd()
Signal: macd_signal()
Histogram: macd_hist()
200MA: sma(200)
RSI: rsi(14)
Chg%: roc(1)

Entry Strategies

Conservative (Wait for Confirmation)

MACD crossover appears on scan
Wait for price to break above recent high
Enter on pullback to support
Stop below MACD crossover day low

Aggressive (Immediate)

MACD crossover appears on scan
Check histogram turning positive
Enter at close or next morning
Tight stop (3-5%)

Pullback Entry

MACD crossover happens
Wait for price to pull back to 20-day MA
MACD stays positive (no re-cross)
Enter when price bounces off MA

Exit Strategies

Take Profits:

MACD crosses back below signal (bearish crossover)
Price breaks below 20-day MA
RSI reaches 70+ (overbought)
Target hit (10-20% depending on timeframe)

Stop Loss:

Below MACD crossover day low
Below 50-day MA (trend failure)
7-10% below entry (swing trade stop)

Signal Quality

High Quality Signals

MACD crossing from below zero line (new uptrend)
Histogram has been negative for weeks (oversold)
Price holding above key moving averages
Market trending up (SPY bullish)

Low Quality Signals

Multiple crossovers recently (choppy)
MACD crossing near zero (weak momentum)
Price below 50-day MA (downtrend)
Market in correction

What to Watch For

Strong signals:

First crossover after long decline
Histogram turning from negative to positive
Price making higher lows
200-day MA sloping up

Warning signs:

Crossover immediately after bearish cross (whipsaw)
Price breaking support levels
Volume declining on crossover
200-day MA flattening or declining

Common Mistakes

Trading every crossover - Wait for high-quality setups
No trend filter - MACD is useless in sideways markets
Ignoring price action - Confirm with chart patterns
No stop loss - MACD can be wrong, protect capital
Overtrading - MACD is for swing trades, not day trading

Combining with Other Indicators

MACD + RSI

cross_above(macd(), macd_signal()) and c > sma(200) and rsi(14) > 40 and rsi(14) < 60

RSI between 40-60 = healthy momentum without extremes

MACD + Price Pattern

cross_above(macd(), macd_signal()) and c > sma(200) and c > sma(20) and (c - l) / (h - l) > 0.5

Adds bullish candlestick filter (close in upper half of range)

MACD + Trend Strength

cross_above(macd(), macd_signal()) and c > sma(200) and (c - sma(200)) / sma(200) * 100 < 20

Price within 20% of 200-day MA (not overextended)

Timeframe Considerations

Daily Charts (Standard)

Hold 2-6 weeks
Use 12/26/9 settings (default)
Best for swing trading

Weekly Charts (Longer-term)

Hold 2-6 months
Use same settings on weekly data
Fewer but higher quality signals

Intraday (Not Recommended)

Too many false signals
Better indicators exist for day trading

Momentum Breakout - Price-based momentum
Oversold Bounce - Counter-trend entries
Volume Spike - Add volume confirmation

Pro Tips

Best setups: MACD crossing near zero after pullback
Confirm with chart: Look for consolidation before crossover
Market filter: Only trade MACD crossovers when SPY is above its 200-day MA
Risk management: Size smaller on crossovers near resistance
Multiple timeframes: Check weekly MACD for trend confirmation
Histogram divergence: Watch for price making new lows while histogram makes higher lows (bullish)
Patience pays: Wait for the cleanest setups, not every crossover

Advanced: Divergence Trading

Bullish Divergence

Price makes lower low, MACD makes higher low → reversal likely

Bearish Divergence

Price makes higher high, MACD makes lower high → top forming

Note: Divergence signals are more advanced and require chart analysis beyond the scan.