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Scaling MACD Values to Compare Them with CCI Levels

Article MQL5 code base
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Summary

This short description discusses a coding challenge in a trading indicator that compares values from the Commodity Channel Index (CCI) and Moving Average Convergence Divergence (MACD) with a shared buy/sell threshold. The indicators can have very different numerical scales: the text says CCI readings are relatively stable, while MACD readings depend strongly on the symbol’s price. It proposes multiplying MACD values by a ratio to make the comparison more workable across instruments, but does not give the ratio formula or full indicator rules.

The document recommends EURUSD on a 30-minute chart and refers to a test period from January 8 to November 6, 2016, with a starting deposit of 10,000. It provides no outcome metrics or results in the supplied text, so no conclusion about profitability or robustness can be drawn. The example is limited to a scaling issue and a backtest reference; it does not explain parameter selection, costs, position sizing, or risk management.

Key ideas

  • The indicator compares CCI and MACD values against a common buy/sell level.
  • CCI and MACD can have substantially different numerical scales, and MACD depends on the instrument’s price.
  • The proposed remedy is to multiply MACD by a ratio, but the ratio is not specified.
  • EURUSD on a 30-minute chart is recommended, with a referenced test period and initial deposit but no reported outcome.

Tags

Technical indicatorsForexBacktestingStatistics

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.