U.S. Dollar / Canadian DollarEducation
How To Spot Divergance
Def: Divergence occures when the price of a pair moves in one direction while the trend indicator is moving in the opposite direction.
Example : On this DollarCAD chart,
The price is clearly going down, while the indicator clearly goes up.
This indicatates indecision in the market movements. Until these 2 moves together it will be a confirmation of a up/down trend.
Hope this little education helps unpack divergence.
Cheers and happy tarding !!!
Example : On this DollarCAD chart,
The price is clearly going down, while the indicator clearly goes up.
This indicatates indecision in the market movements. Until these 2 moves together it will be a confirmation of a up/down trend.
Hope this little education helps unpack divergence.
Cheers and happy tarding !!!
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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.
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.