How to Confirm a Divergence
I get a lot of messages from you guys talking about how #diivergences seem to play out or not get initiated or that you're having problems entering A #divergence trade.
In this video I'm presenting you a reminder of one of the steps you need to use and it is the the confirmation step that you need to use for confirming whether a divergence is actually going to start going in your favor.
By that I mean that you have already found the divergence and you're simply waiting to enter on the trade because as you should know by now just because you see a divergence doesn't mean it triggers you to start trading in a direction.
Finding the divergence is only step one but finding the entry is based off of the structure in price action that I have outlined in this video idea.
In this video I'm simply using the RSI to find a bullish divergence based off of the difference in bearish price action and you can see clearly how I implement drawing a area around the start of the divergence and wait for price to reach that area. If price never reaches that area then I do not trade bullish according to the bullish divergence instead you simply ignore the divergence and carry on with the rest of your #priceaction #trading.
In this video I'm presenting you a reminder of one of the steps you need to use and it is the the confirmation step that you need to use for confirming whether a divergence is actually going to start going in your favor.
By that I mean that you have already found the divergence and you're simply waiting to enter on the trade because as you should know by now just because you see a divergence doesn't mean it triggers you to start trading in a direction.
Finding the divergence is only step one but finding the entry is based off of the structure in price action that I have outlined in this video idea.
In this video I'm simply using the RSI to find a bullish divergence based off of the difference in bearish price action and you can see clearly how I implement drawing a area around the start of the divergence and wait for price to reach that area. If price never reaches that area then I do not trade bullish according to the bullish divergence instead you simply ignore the divergence and carry on with the rest of your #priceaction #trading.
Website = coffeeshopcrypto.net
Discord = discord.gg/25q5csQUkH
Discord = discord.gg/25q5csQUkH
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.