Strategies / Momentum / MACD Histogram Zero Cross Reversal

MACD Histogram Zero Cross Reversal

The strategy goes long when the MACD histogram crosses above zero and short when it crosses below zero, reversing any open position. Each trade uses a stop loss 1.25 times the 2 period average true range.

MomentumLong & shortSwingUSD/JPYDaily

9.12Profit factor

1,149,270Net profit USD

1.46%Win rate

893Trades

-133,510Max drawdown

1,287Avg trade

Best run of 3. USD/JPY, Daily, spread 1, from run pf:2026-10-12-USDJPY-D.tsv:3.

Entry rules, long

The position is not already long.

Entry rules, short

The position is not already short.

Exit rules

A stop loss sits 1.25 times the 2 period average true range from the entry price.

Test conditions

Period	Up to 2026-10-12
Instrument	USD/JPY, Daily
Spread	1 points
Starting capital	1,000,000
Costs	Spread only. Commissions and overnight financing are not included.
Bars	Up to 200,000 bars, fewer where the instrument has less history
Last tested	2026-10-12

Every run

Markets and timeframes tested

Market	Timeframe	PF	Trades	Win %	Net	Max DD
USD/JPYBest run	Daily	9.12	893	1.46	1,149,270 USD	-133,510
Silver	4 hours	n/a	2,032	26.57	33,074 USD	-20,413
Gold	4 hours	n/a	2,036	28.88	2,350 EUR	-1,439

Charts

Results by run

Net profitMax drawdown

The code

ProBuilder code, as tested

// ==============================================================
// MACD Histogram Zero Cross Reversal
// ProRealAlgos Strategy Library  |  prorealalgos.com
// Type: Momentum
// Direction: Long & short
// Timeframe tested: Daily
// ==============================================================

DEFPARAM CumulateOrders = false

myMacd = ExponentialAverage[13](close) - ExponentialAverage[30](close)
signal = ExponentialAverage[12](myMacd)
delta = myMacd - signal
myAtr = AverageTrueRange[2](close)

13 more lines: the entry and exit rules.

Setup

How to load it

Copy the code with the copy button on the code block.
In ProRealTime, open a chart of the instrument and timeframe you want to test, then open ProOrder > New trading system and choose "Create with programming".
Paste the code, give the system a name and save it.
Click "Backtest", set your own spread and position size, and run it before you consider trading it live.

Indicators used

MACDEMAATR

Read this firstKnown weaknesses2 points

Results include the spread only. Commissions and overnight financing are not included.
The code is published as it was backtested and has not been compiled again since.

Questions

About this strategy

Can I run MACD Histogram Zero Cross Reversal in ProOrder?

Yes. The code is ProBuilder and runs as an automated ProOrder system. Backtest it on your own account with your own spread and position size before trading it live.

Which markets was it tested on?

It was tested on 3 market and timeframe combinations. The best run was USD/JPY, Daily, with a profit factor of 9.12 over 893 trades.

How large was the drawdown?

The best run had a maximum drawdown of 133,510 USD at the tested position size, against a net result of 1,149,270 USD.

Does it trade long, short or both?

It trades both long and short.

Slow MACD Slope

Uses the same indicator.

6.80 PF · 7,305 trades

Trend Surfer

Best run on the same market, USD/JPY.

1.04 PF · 10,813 trades

Linear Regression Momentum Pivot

Also a momentum strategy.

9.58 PF · 1,606 trades

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Past backtest results do not guarantee future results. This is not financial advice. Curated and maintained by ProRealAlgos. ProRealTime™ is a trademark of ProRealTime SAS. prorealalgos.com Stats Docs