Sean
Not sure if you're asking how T28 uses the two MACDs as signals or if you're asking how I superimpose two MACDs on one graph.
Attached is my 2 min ER2 chart for this afternoon set up for T28's SPM - Two triangular moving averages, a 3 period and an 8 period, both displaced two periods to the right (that's a -2 in TradeStation (TS) and a +2 in T28's platform) - and a standard 2 min MACD (12, 26, 9).
BTW - don't forget we shifted to ER2's June contract this morning.
On top of the chart I have superimposed a 10 min ER2 but made its pricing data invisible (that's a TS option). On the subgraph below is a 10 min MACD (dotted lines) overlaid onto a 2 min MACD (solid lines) subgraph. That's the only reason I needed the invisible 10 min chart - so my subgraph could calculate the 10 min MACD.
Remember, the 10 min MACD really only plots a point every 10 minutes - so the dots connecting two 10 min dots together are just artifacts of the fact that this is all being plotted on a 2 min subgraph.
Now, as to how T28 uses them - he looks for 2 min MACD xovers and zero line crosses (ZLCs), ideally headed toward the 10 min MACD.
The MACD consists of a 9 period moving average (MA) and a 12/26 slower MACD. When the MA crosses over the MACD he waits for a MA ZLC and then goes long or short depending on the MACD2's direction. Ideally, the MACD2 is moving toward the MACD10 though I gather he's not always that picky.
After the ZLC he'll trade MACD xovers in the same direction. But he won't trade a MACD xover in the other direction until it's followed by a ZLC. And so on . . . Again, the only purpose of the 10 min MACD is to lend support to the strength of the move but I take it that trading toward the 10 min MACD isn't cast in concrete - depends on how he's feeling about it I guess.
On the top side, he's hoping for a nearby crossover of the TMA3+2 and TMA8+2 as well as some price action around those TMAs that'll confirm the trigger - though those aren't base elements of the SPM. Nor are exits defined - that's your call.
Finally, he stays up late, drinks a lot, and screws around with someone named Mrs. Hershey to keep his trading chops up - that's about all I know.
How'm I doin' T28?? Am I gettin' close?
jimns