Here are examples of how I personally use the EFC Indicator signals. When not to trade - Price & Macd flat, Macd close to 0 level, middle price range When to trade - RSI divergence, Macd over-extended, price far from ma's
How do you define "over-extended" for MACD? I've struggled to clearly define it other than eyeballing it
woronick
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A question and an observation: (1) What exactly does EFC stand for? What is it? (2) You say "Price above ma's long only." Yet, as price remains above the ma's you take a short.