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Divergence

Market Range - What are they trying to tell us?When the market range, it is telling us they are lost with the main direction. And we are seeing that between all the US major stock indices and many stocks since the second week of May. Prices basically still trading around the same price since then. In today’s tutorial, we will discuss: • How to identify when market started to enter into a range and • Which direction will it ultimately break away from a range market? The concept of “Less is More” When we trade into a contract that is within our means, we will be able to focus on trade set-up that is so helpful for entry, stop loss and profit taking than trying to manage our emotions as we have over traded. Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
CME_MINI:NQ1!Long
by konhow
Double Top Pattern On GBP/USD - 4-hourHi Traders, Happy Wednesday. Today we are looking at GBP/USD. We are on the 4-hour time frame and we can see we have a double top playing out. Notice the two peaks of the double top ( I have placed arrows on each peak ) Notice the divergence of the histogram on the MACD across these two peaks. This indicates that the sellers are coming in hot and taking control because the buyers have been weakening. We also know that we are trading with the current market trend. There's no reason for us to look for long positions in most of the major pairs right now as the DXY is rocketing up and the Euro and Pound are struggling to form a bottom. So remember, if you want to give your strategy a further edge, trade with the trend. Our current market bias on this pair is short so we have been looking for short positions. I have highlighted the neckline zone in yellow. I was waiting for a retrace to the topmost point of this zone. I wanted the price to hit the resistance of that zone before opening up a short position. This gives me a higher risk to reward and I am looking for a risk to reward of one to three for this particular setup. Switching to the weekly time frame we can see that we have support around the 1.165 level. Price always seems to react around this level and there is technically no previous price structure to stop us on the way down. This is why I have chosen the 1.165 price level as my target for this double top. My short position opened early this morning whilst I was away from my computer so I decided to showcase this trade to you guys because it is always interesting to see how these things tend to play out. I am a patient swing trader and most of my entries occur within the 4-hour time frame. So let's wait and see if this pair is indeed going to move down even lower towards my target. Double tops and double bottoms are one of the most popular chart patterns to use and it's always a great tool to add to your bag of tricks when trading forex. Keep your eyes peeled! So on that note, let's watch and see what happens. I will be seeing you all in the next one. Hope you all have a great day! The Vortex Trader
Short
by TheVortexTrader
Double Top Pattern On AUD/USD - 4 Hour Hi Traders, Happy Tuesday. Today we are looking at AUD/USD Before we get into it, can we all just acknowledge the fact that the Euro and the US Dollar is officially one-to-one. The last time this was seen was in 2002. Twenty years ago. It's quite something to see. We are living in interesting times. The DXY is still rocketing upwards. Other markets are falling. As a trader, we love volatility right. That’s our bread and butter. And because we trade constantly, we’re the first people to see these moves before the rest of the world finds out. I think we should remember not to take this ability for granted. You’ve worked hard to be where you are and thankfully if you are a consistently profitable day trader, then you can take advantage of price swings like this. The rest of the world cant. So, let's remember to be grateful every day. Ok, let's move on to AUD/USD We are on the 4-hour time frame. The price has been bearish and still is. However, we may have a Double top playing out in this time frame. As you can see I have placed two arrows indicating where the tops are. I have also highlighted the neckline in yellow. The price moved straight through this neckline and is currently sitting way below it. We have very strong bearish volume at the same time. So what I would like to see is the price slowly come back up to the neckline, which is also the previous Support flipped resistance. This is a zone that has a lot of interest so I'm happy with it being a neckline zone. Moving to Volume, we have seen nothing but bearish volume, but what I would like to see with that possible retrace up to the neckline, is bullish volume, but we don’t want overpowering bullish volume with the retrace because that could indicate a possible reversal and we would most likely be stopped out. So we want to see bullish volume lower than this previous impulsive bearish volume we have been seeing. Moving to the MACD, we have divergence across the two tops of the Double Top. We can see this on the Histogram. Buyers were weakening and this just confirms our bearish bias because as we are trading with the trend remember. So we are looking for opportunities to go short. So on that note, let's watch and see what happens. I will be seeing you all on the next one. Hope you all have a great day! The Vortex Trader
Short
by TheVortexTrader
2
Double Bottom On The GER40 FormingHi Traders, I am looking at the DAX today on the 4-Hour Chart. We may have a potential Double Bottom forming currently. We have nice divergence across the MACD Histogram. I'm waiting either for the price to break out of the neck zone area with impulsive bullish volume to accompany it OR for the price to head down again and form a clearer second bottom. Either or, patience is key. I will not enter unless that neck zone is broken and the price closes above it. We always wait for a retrace back into the neck zone before opening up a long position. Let's see how this one plays out. Have an awesome Wednesday traders! The Vortex Trader
OANDA:DE30EURLong
by TheVortexTrader
Looking For A Double Bottom On AUD/USD Hi Traders, I am looking at AUD/USD on the 4-hour time frame today. I am noticing a potential Double Bottom pattern begin to form. We have two bottoms already and we have our neckline. We also have divergence in the MACD across the two bottoms. I'm waiting for the price to come up and impulsively breakthrough that neckline. If we see a break and close above that neckline zone, I will be waiting for a minor retrace back into the neckline zone, upon which my entry will be triggered. Let's be patient and see if this pattern forms fully. Trade safe out there guys! The Vortex Trader
Long
by TheVortexTrader
#BTCUSD Updated & Forecast Elliot Wave Technical Analysis: Elliot Wave recounting & update Using of EW RSI DIVERGENCE TRADING STRATEGY Method to identify changes in downtrend & uptrend CHART ANALYSIS Direction still on heavy downtrend and slightly have a very strong “Bearish Hidden Divergence” Technical trend continue in the long “Primary wave” Double combo correction WXY Expanded Flat Pattern and is expected to make a decrease to the 50% Fibo Retracement level as a target over the next 2-4 weeks Note: to be able to identify "Divergence" whether Bullish or Bearish, you need to draw or mark manually by finding the change /difference of the trend (Divergence line) between the direction of Price vs RSI Indicator 14 - (can be done in small or large Time frame ) - EW Note: Elliott wave is not a technique but it is to identify the Direction whether it is Down or Up. *Disclaimer: All Trading Plan Ideas are for the study & guide of the Author only, *For the purpose of buying & selling shares please refer to the representative of "Remiser or Stock Expert Consultant". *All purchases or sales or even losses on stock & others instrument transactions, are your own responsibility. Friendly Reminder: Control emotions, Take care of capital & trade discipline Start with Bismillah & Selawat before trading. Thank you .
INDEX:BTCUSDShort
by deanmentari
Easy trading Setup For APPLE (AAPL) – Triple BottomHi Traders, Looking at Apple Stock today on the 1-hour time frame. We see a nice potential triple bottom playing out. Price has been respecting the descending trend line as well as the neckline of the triple bottom. Once the price broke out of the neckline as well as the descending trend line, we had a nice bullish volume bar to accompany it. Once the market opens, I will be looking for a retracement back into the neckline. My long position will trigger then and my targets are previous resistance. Let's see how this plays out. ( I'm not a massive triple bottom trader however, this one has me curious haha ) Have a good Tuesday! The Vortex Trader
NASDAQ:AAPLLong
by TheVortexTrader
1
Lets Go Short – Double Top On The UK100Hi Traders, Today we are on the UK100 In the 4-hour time frame, we see a nice double top. My entry was the deepest point of the neckline. I waited for the price to retrace to the deepest point at the top of the resistance of the neckline. My short position opened then. I had confluence from the divergence across the MACD as well as the large bearish volume that occurred during the impulsive break of the neckline. My target is previous support which gives me a Risk/Reward of 1/2 Have a good Tuesday! The Vortex Trader
CAPITALCOM:UK100Short
by TheVortexTrader
BTC Long Term And Short Term AnalysisBTC LONG TERM - On the 1D it could get a 3rd strike of bullish divergence on the Crypto trend indicator which could maybe give it a little bounce upwards to 22900 then maybe come down further once the divergence has played out. BTC SHORT TERM - On the 1H it looks like it wants to bounce a bit more, it has broke the 21 and 55 EMA with the stochastic crossing up and a green spot on the crypto trend. Short term it could test upwards to 20400. BTC OVERALL - I think BTC will continue this bounce up to at least 20400 with it looking bullish short term. Let me know your thoughts in the comments and like my idea!!
Long
by cryptokid1507
1
Swing Trading Setup For The DAX 30 – Falling Wedge PatternHi Traders, Having a look at the DAX30 on the Daily. We see a potential falling wedge with accompanied divergence across the MACD. I would like to see a break and retest of this pattern before jumping in. This is the daily time frame so this would be quite a long swing position. It's all about patience haha. Let's see how it plays out. My target would be previous daily resistance. Enjoy your Monday! The Vortex Trader
OANDA:DE30EURLong
by TheVortexTrader