MACD BB Lines

MACD BB Lines

The MACD BB Lines indicator is built from a standard MACD indicator with Bollinger Bands added to the signal line. The MACD values are shown as dots. The indicator is typically used to generate with-trend entries on a breakthrough of the upper / lower Bollinger Bands.

Indicator Description

The MACD BB Lines is typically used to locate trend entries from breakthroughs of the upper / lower Bollinger Bands. Our MACD BB Lines NinjaTrader 8 indicator plots minor and major trends:

  • Minor Trend: The minor lower timeframe trend is up when the MACD is rising. It is down when the MACD is falling.
  • Major trend: The higher timeframe trend may be taken from the MACD itself. An major uptrend is signaled when MACD > 0, while MACD < 0 stands for a major downtrend.

Our NinjaTrader MACD BB Lines indicator comes with a few public Series<double> that can be accessed via other indicators or automated strategies. These will also shown in the strategy builder.

The series “Trend” may be used to detect the minor trend. “Trend” will show the value +2 when the MACD is rising and above the upper Bollinger Band. A +1 trend occurs when the MACD rising but below the upper Bollinger Band. Conversely a -1 will plot when the MACD falling and above the lower Bollinger Band. A -2 trend occurs when the MACD it is falling and below the lower Bollinger Band.

You will further find two Series<double> “LongSignal” and “ShortSignal”. A +2 long signal will be returned for upper band breakthroughs in major uptrends (strong). A +1 long signal will be returned for upper band breakthroughs in major downtrends (weak). The value 0 will be returned for no signal.

Conversely, a short signal will return +2 for a lower band breakthroughs in a major downtrends (strong). A short signal will return +1 for lower band breakthroughs in a major uptrends (weak). Again the value 0 will be returned for no signal.

MACD BB Lines Market Analyzer Column:

The MACD BB Lines NinjaTrader 8 indicator also comes with two separate market analyzer columns. The first column will simply indicate the trend and return values based on rising and falling MACD above or below the Bollinger Bands as described above.

The second column will return entry signals, where +2 stand for a strong long signal, + 1 for a weak long signal, 0, for no signal, -1 for a weak short signal and – 2 for a strong short signal. Long and short signals are called using a single column, due to the limited space available in the market analyzer itself. For the Series<double> objects, LongSignal and ShortSignal series have been separated, as they are designed to return positive values or 0 for no signal only. Please be mindful of this distinction.

MACD BB Lines Paint Bars:

The indicator comes with paint bars that reflect the minor trend. The colors are similar to the colors for the MACDBB dots, but you may differentiate between upcloses and downcloses. 

MACD BB Lines Sound Alerts: 

The MACD BB Lines NinjaTrader 8 indicator comes with sound alerts that will be triggered on a breakthrough of the upper / lower bands, or when the major trend changes occur.

Other Library Indicators

The indicator is best used when aligned with a higher timeframe trend bias and Volume / Range Analysis. Please review our Indicator Spotlights on the Regression Channel and the Donchian Channel for information on determining trends. The indicator library has a Channel Indicators category, featuring among others Regression Channel, a Daily Regression Channel as well as the Donchian Channel. Range / Volume Analysis was discussed in our Indicator Spotlights on the Relative Ranges and Relative Volume indicators. Finally, other library versions of the MACD indicator include the MACD KC Lines, the Multiple MACD and the Gapless MACD.

The indicator is available for NinjaTrader 8.