MACD (Moving Average Convergence Divergence) is one of the most widely watched momentum indicators. Ice Juice Trading's MACD Cross template automates the classic crossover signal on your own Alpaca account — it buys when the MACD line crosses above its signal line. You set the risk limits; it runs on paper first. No code.
MACD measures momentum by comparing two exponential moving averages. The MACD line is the 12-day EMA minus the 26-day EMA; its signal line is a 9-day EMA of that difference. When the MACD line crosses above the signal line, momentum is turning up — a common entry cue; when it crosses below, momentum is fading. Because it's built from moving averages, MACD reacts a bit late but filters out a lot of noise.
Enter when the MACD line (EMA12 − EMA26) crosses above its signal line (EMA9 of the MACD line).
It's the textbook bullish MACD crossover, automated so you never miss one and never chase one late. Every knob is yours to set: dollars per position, stop-loss %, maximum open positions, and profit-taking rules — or point the same signal at your own basket of tickers.
MACD crossovers work best when a stock is starting a clean directional move; they generate the most whipsaw in flat, choppy markets, where the line and signal weave back and forth and fire crossings that quickly reverse. It's a momentum tool, so pairing it with sensible stops and position sizing matters — a crossover is a starting cue, not a guarantee.
In our own 3-year backtest, the built-in MACD Cross template won 63.5% of 1,894 trades with a profit factor of 1.34 — a much larger sample than a rare signal like the golden cross. Still, those results are hypothetical, don't reflect actual trading, and past performance does not guarantee future results. Use the built-in backtester to run it over history on your own basket, then paper-trade it live on simulated money before risking real capital.
Automate MACD on your Alpaca account →
Explore all seven built-in strategies — including the Golden Cross, Trend Rider (momentum), and the Dip Buyer (mean reversion) — or compare plans and pricing (free paper trading included).