Technical & Price Action
MACD Bullish Crossover is a Technical & Price Action screen. It checks every NSE-listed stock against 1 condition computed from nightly data, after excluding heavily pledged promoters and very small market caps. This page explains the rule, each figure and its source. It lists no stocks and is not advice.
The MACD (Moving Average Convergence Divergence) indicator, developed by Gerald Appel, measures the momentum differential between two exponential moving averages (12-day and 26-day). When the MACD line (the difference between the two EMAs) crosses above its own 9-day signal line, it signals that short-term momentum is accelerating faster than intermediate-term momentum — a classic swing-trade entry trigger. The MACD crossover is the most widely used momentum confirmation signal globally and is particularly effective when the crossover occurs in positive MACD territory (confirming continuation of an uptrend) or when it coincides with price at a support level (confirming a reversal).
A stock must satisfy every condition below. Conditions are grouped under the pillar they test.
Momentum Crossover
Hard excludes
Ranked by Market Cap, highest first.
MACD Histogram
The MACD histogram = MACD line minus signal line. A positive histogram means MACD is above its signal line (bullish). A rising histogram means momentum is accelerating. This screener requires the histogram to have just turned from negative to positive (the crossover event).
A freshly turned positive histogram (just crossed zero from below) is the entry signal. A histogram that has been positive for many weeks is an already-established uptrend — the signal has already played out.
High is better
MACD Line
The MACD line = 12-day EMA minus 26-day EMA. Positive MACD means the shorter EMA is above the longer EMA — a bullish configuration. The crossover above the signal line is the buy trigger.
A crossover occurring while the MACD line is in negative territory (below zero) is a weaker signal — it suggests a bounce within a downtrend. A crossover while MACD is already positive is a stronger continuation signal.
High is better
Volume Ratio (Current vs 30-Day Average)
Current volume relative to 30-day average. Volume above average during a MACD crossover increases signal reliability.
A MACD crossover on thin volume could be a false signal. Above-average volume confirms that the momentum shift is backed by actual buying pressure.
High is better
Type hypothetical values to see which conditions they satisfy. These are not real stocks and nothing here is stored.
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We could not tell this screen's picks apart from the stocks it left out. That is an absence of evidence, not a finding that the screen is wrong; it is still a valid way to narrow a list by your own rules.
AI-generated plain-language explanation
In the past data we checked, the stocks this screen picked did worse than the ones it left out, by more than luck alone would explain. Each month, across 64 months we have data for, we checked whether the stocks this screen picked did better, over the following month (21 trading days), than the stocks it didn't pick. We score that from -1 (the picks always did worse) to +1 (always did better); 0 means no pattern. This screen scored -0.0183. As a measurement, the score is very small, but clearly below zero. If the screen had no real edge, a score at least this far from zero would show up less than 1 in 1,000 by luck alone. That does not mean the screen is wrong; it still works for narrowing a list of stocks by your own rules. This is a record of the past, not a prediction.
This content has been generated with the assistance of artificial intelligence tools by FINOME TECHNOLOGIES PVT LTD. It is for educational purposes only and does not constitute investment advice, a research report, or a recommendation under SEBI (Research Analysts) Regulations, 2014 or SEBI (Investment Advisers) Regulations, 2013. Not investment advice. Issued in compliance with SEBI circular SEBI/HO/MIRSD/MIRSD-SEC-5/P/CIR/2024/149.
In the past data we checked, the stocks this screen picked did worse than the ones it left out, by more than luck alone would explain. Each month, across the whole period we have data for, we checked whether the stocks this screen picked did better, over the following month (21 trading days), than the stocks it didn't pick. We score that from -1 (the picks always did worse) to +1 (always did better); 0 means no pattern. This screen scored -0.0183. As a measurement, the score is very small, but clearly below zero. If the screen had no real edge, a score at least this far from zero would show up less than 1 in 1,000 by luck alone. That does not mean the screen is wrong; it still works for narrowing a list of stocks by your own rules.
This is a record of the past, not a prediction.
This is a historical, statistical measurement produced by FINOME TECHNOLOGIES PVT LTD's research harness on past data. It is not a prediction, and past results do not indicate future results. The universe is today's Nifty 500 constituents, so the sample is affected by survivorship bias. It describes how a screen's selections behaved in the past and does not constitute investment advice or a recommendation.
Rule version 1.0.0