MACD Histogram Red Green bars Height and color in Kite - Explain

Technical Analysis
1

Can anybody please explain, on the formation of color and height of the bars in MACD histogram on KITE platform.

I am confused as, sometimes, for a green candle also a red bar comes in MACD histogram and a Green bar for a red candle.

I have also the same level of confusion with regard to the height of the bars in histogram.

Request the pros in forum to explain.

Thanks

2

Maybe https://youtu.be/D_tElj7eP9s can help

3

Hi Kingsrook14,
Thanks for the quick reply. I understand what the guy told in the video ,however, it is not exactly as similar to the one used in KITE.
In this video, below zero line all bars in histogram are red, above zeroline bars are green.

In kite there are some red bars above zero line and green bars below zero line. I am still confused.

Regards

4

It’s a property of indicator and not directly related to candle color. When you see signal line tending to give buy signal bar is green doesn’t matter what’s candle color. Also when you see signal line tending to give sell signal bar is red irrespective of candle color.

5

MACD%20Histogram%20Colors
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Still not getting it…In the attached image, after a heavy opening Price down, at 9:16 and 9:17 when Price started moving up with big volume isn’t the signal is tending to go up and should give buy signal (it has started flattening out as you would see). Dont the corresponding Histogram Bars be in Green color rather than Red? Similarly after the MACD Line crosses over Signal Line there are three Red Candles and price has come down…but the MACD Histogram bars have stayed green…

Could you please explain this behaviour of chart / MACD Histogram?

Reference: NIFTY18NOV10500CE on 11/09.

Appreciate the help!

6

Could you let me know how the color of the MACD Histogram bar is determined. What all data inputs considered and how it is derived! Thanks.

7

I think when price moves up or down by 1 percent colour of histrogram changes and it’s width depends on the distance between signal and macd line.Anybody having different view pls reply

1 Like
8

Can anyone let me know how the color is changed? How can we determine this and what data is needed for identifying this signal in color change.