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Originating Author: Anže Kravanja
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Introduction:
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Moving Average Convergence Divergence (MACD) is a relatively simple trend and momentum analysis tool suitable for almost every metric that can be plotted as a time series. With it, we are able to analyze in what kind of trend are we currently and how strong the trend is.
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Analysis Overview: (In 3 – 4 sentences, please explain what the main goal of this analysis is.)
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The main goal of the analysis is to understand the chosen metric’s momentum and trend over time with the help of exponential moving averages.
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Analysis Benefits: (What are the top three benefits that this analysis will provide?)
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You will be able to determine <g class="gr_ gr_72 gr-alert gr_gramm gr_run_anim Grammar only-del replaceWithoutSep" id="72" data-gr-id="72">in </g>what trend the chosen metric is (up, equilibrium, down),
If in trend is getting stronger or weaker by examining momentum, generally you will be able to predict what will continue to happen in the future if there is no interference.
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DAA members, go here to view full recipe. ------------------------------
Tanya Chan
Digital Analyst
Analytics Pros (Corporate Account)
Seattle WA
206.331.4034
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