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...
In the world of technical analysis, the Relative Strength Index (RSI) serves as a valuable tool for traders seeking to identify potential trend shifts and entry points. RSI divergence, a divergence between the RSI indicator and the price movement, is a powerful signal that can offer insights into upcoming price reversals. This article provides an in-depth...
Please note that the price was able to move from the ceiling during the time period specified in the box, but in the same time box, it could not return that way and it was filled within time. What it means in the market is that the power of buyers is more and there is a positive time divergence.
Hello dear @TradingView community! In this guide, we will delve into the concept of divergence and its significance in technical analysis, specifically focusing on its application in the cryptocurrency market, particularly Bitcoin. Understanding Divergence: A Key Concept in Trading Divergence occurs when the price of an asset and an indicator, such as the...
What Is Divergence? Divergence is a trading phenomenon that offers reliable and high-quality information regarding trading signals. It refers to when an asset’s price moves in the opposite direction to the momentum indicators or oscillators. Commonly used indicators include the relative strength index (RSI), stochastic oscillator, Awesome Oscillator (AO), and...
A fellow trader here on Trading View needed some help with a trade he is taking. Commonly when an RSI makes a new LOW and price makes an opposing HIGH this is called a "Bearish Divergence" When this happens, its expected that price will follow and make new Lows or start moving down. But what happens when price continues to move up? Why would it go against the...
At some point in your trading career, you will hear the term "Divergence Trading". Divergence simply means when the price and indicator are telling the trader two different things. It can be an effective addition to your trading strategy, especially if already using indicators like RSI or MACD to find overbought and oversold levels but should not be replied on by...
Divergence simply means separation.. When two similar things things---get separated and start going different directions, you have to consider which direction to follow. That's exactly the concept of divergence. When trading, and you spot a divergence, you want to be sure to understand what they are trying to tell you. In this video, I explain the concept of...
Hello Tradingview community! Today I want to share something which is pretty rare to see around, the Advanced Breakouts (AB)! What is an AB? Is an event when the indicator may anticipate the price's movement. Some indicators like the RSI or the OBV are great for this, and in this analysis, I'll use the RSI as an example. See the movement on the Nasdaq 100 today?...
DXY can go either way, it does not show a clear trend as to where it is going to move next. One view is that - It can go down considering the hidden divergence on the 1-hour timeframe.
This should not be considered advice. Always do your own research.
Trading divergences is a very common technical analysis strategy, but it comes with one big problem: the most common divergences (not hidden) trade against the trend. This means that new traders can often get into trouble by constantly looking for, and trading, against a dominant trend. Here's an idea to help you become more profitable over the long-term:...