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Rsidivergence

Oil Price....Breakout or Breakdown?Oil chart is looking interesting. There is a lot of media talk of oil being at a seven year high and oil is going to $100 per barrel however from a technical standpoint there is a confluence of headwinds that may see a pull back at ~$90 level within the next few weeks. Perhaps $100 may be on the cards for later in the year but from what I'm currently seeing in the charts, it points towards a pull back in February. My attached analysis shows: - Approaching overhead long term resistance which has had three rejections since 2008. - Approaching to the top of the pricing channel that Oil has been trading in since the oil price collapse during COVID, the top of this channel has also been rejected three times. - RSI is forming a new bearish divergence. The past two touches of the top of the pricing channel have seen 20% - 25% sell off's and both times landing / finding support around $62. I wouldn't be surprised if we saw something similar to this again, which would bring us through to March or April before Oil price is confirmed as moving off the support and back upwards again. Interestingly this timing is close to consistent with a seasonality pattern in Oil which historically shows May and June as very strong positive months for Oil......perhaps that is when we will see the break of the $90 resistance level.
NYMEX:CL1!Short
by gary_trades
DXY / WEEKLY LONG / RSI DIVERGENCE, FALLING WEDGE + B/BUTTERFLY This has lined up perfectly, as beautiful as clock work. We've seen this very similar set up back in early January of 2018 which was the spark that caused the highs of March 2020. I've posted a trail of posts leading to this point & I finally believe that we have found bottom and will see up from here. This is in a falling triangle which began building from March. The bullish RSI divergence indicates that we should be seeing some long work which should lead to a break up out of the triangle and on to the profit targets indicated using the harmonic butterfly. This also falls in well with my opinion that the stock markets are due a correction very soon which usually gives rise in the DXY. Like anything in this world, it's not as obvious as it seems. Sometimes everything you now indicates TRUTH, but a lot of the time it's not the case. STAY CAUTIOUS! Wish you all a Merry Christmas! Stay away from the news & enjoy the remainder of what has been a eye opening year.
TVC:DXYLong
by SkyTrees
+3.45% ROI thanks to a simple Daily Shooting Star reversal stratHi Traders, STATEMENT Let’s keep diving into the daily time frame to build an expectation of the direction the market could be heading to on the FX:AUDUSD pair. A directional bia s is a powerful tool that can facilitate your trading journey when executing on lower time frames. RATIONALE Analyzing the daily time frame before thinking on taking a trade on a lower time frame can help you to: 1. spot robust areas of support and resistance , 2. Avoid fading strong daily candles (high probability candles) that you wouldn’t be aware of if sticking to lower time frames. 3. Identify potential take profit placement . THE PLAY For this example, we will be checking at the FX:AUDUSD chart, and more precisely the Daily Shooting Star that was printed on 13th of January 2022. 1. First of all, on the daily time frame when I recognize a high probability daily candle -in this case, a D1 Shooting Star - I ask myself following questions: a. Is the candle placed at a significant level? *Yes, on a resistance level. b. Did the price rejected a significant level? *Yes, it rejected a resistance area. 2. I draw a level from the candle low. 3. As we are on a Bullish trend since 6th of December 2021, I’m conscious that I’m trying to go against the trend. When I play reversal I always pay attention to the D1 EMA 21 . I noticed that reversal have a higher probability of success when the distance from the candle low to D1 EMA 21 is equal to 1 ATR (considering a lenght of 20 in the setup of the indicator). In this situation we 1 ATR (20) corresponds to 60,4 pips. And when measuring the distance between the candle low and D1 EMA 21 we have 60,6 pips. It means that we have enough space to be playing the reversal. When dropping down to the H1 time frame , we can clearly see that price is not above resistance level and stands on a support level, meaning that the only way for us to execute a trade is to way for the price to: 1. Create a break of market structure (breaking support level), 2. and print a lower low and a lower high . Beside that, when playing reversal I like to have an extra confluence by looking at the RSI and seeking for a divergence (it won’t appear everytime). Another level that should be drawn in this kind of setup is the candle high from previous day before D1 candle shooting star happening. With all our level marked we can now wait for the price to develop. We can see a break of market structure happening (BMS) and a lower low getting printed: Then, at 10:00 we have our entry when a lower high is printed and the H1 candle closes as a Shooting Star. Additionally we have 2 extra confluences: FIB 0.5 level and H1 EMA 21 rejection . Last but not least, our Take Profit is placed at the low of the previous candle before the D1 Shooting Star: THE RESULT Price hit take profit after 9 hours for a ROI of 3.45% : CONFLUENCES SUMMARY On D1: 1. Directional Bias: D1 Shooting Star on resistance level. 2. Enough space for reversal between D1 EMA 21 and Candle Low. On H1: 1. RSI Divergence. 2. Break of Market Structure. 3. Lower Low and Lower High. 4. Fib 0.5. 5. H1 EMA 21. 6. Price action: H1 Shooting Star.
Short
by cmacquet
2
Double Bottom at ABCD/88.6% Confluence Zone With RSI DivergenceThis Double Bottom is looking pretty promising I set the Fibonacci tool up in logscale and that reveals that we are at the log-scale 88.6% retracement and from the looks of it are Double Bottoming while Forming Bullish Divergence on the RSI and as if that weren't enough we are also very near the PCZ of a Bullish ABCD which is just below us but the context of us showing bullish variables like this so very near the PCZ and at the 88.6% leads me to believe that right here and right now is a good spot to buy.
FTX:MNGOUSDLong
by RizeSenpai
GBPUSD-Weekly Market Analysis-Jan22,Wk2Compare to EURUSD, the GBPUSD Bearish Deep Gartley Pattern isn't as promising. There are 2 reasons for that: 1) The candle break and close above Point D, the PRZ. 2) Point BC has a violation. You can DM me on the reason for the violation and I let you know if you are on the right track. However, if you are a 4-hourly chart trader, you can wait for candle confirmation to engage a counter-trend trade not because of a Double Top but a retest of previous high with RSI Divergence.
Short
by RaynLim
BTCUSD A Little Short Term Analysis (I suppose return from here)Looking at the chart, you can see that there is a highly positive rsi divergence on the 2H-4H timeframes. The market is really on fire but if you look at the BTC Fear Index it is very low, it's around 15. I truly believe there will be a comeback here. At least I'm giving it chance. None of what I said is investment advice. I take no responsibility, what I say is just guesswork. Anyway... Apart from the RSI divergence, we have a strong "Bullish Pinbar Pattern" that will carry us forward in the short term. So obviously this could maybe just be a pullback phase. It can carry up to 45K maximum, but it cannot determine beyond that, so open your positions by considering the 39K possibility. But I don't expect any lower (below 39K I mean) or any bear market. If you have an analysis you want, you can write it in the comments. Have nice Trades!
Long
by burhJ
How to send Divergence signals to your Discord server- Do you have a Discord server set up for your own trading community? - Do you use divergences as part of your trading strategy? - Would you like to send automated notifications to your Discord server whenever a divergence appears on any chart? If you have answered yes to all 3 questions above, please keep on reading. The easiest way to receive automated Divergence alerts to your Discord server, is to combine the alert messages from "The Divergent" divergence indicator on TradingView with a Webhook endpoint on your Discord server. Step 1: Open Discord, and go to Server Settings Step 2: Go to Integrations and create a new Webhook Step 3 (optional): Rename your Webhook to "The Divergent (Divergence indicator)" Step 4: Select the channel you wish to receive the divergence signals to (i.e. #divergence-signals) Step 5: Save your Webhook Step 6: Copy your Webhook URL to your clipboard and head over to TradingView Step 7: Apply "The Divergent" or "The Divergent (Pro)" indicator to your chart and configure it as you prefer (The free version of The Divergent can signal Regular Divergences only, while the Pro version can signal both Regular and Hidden Divergences) Step 8: Create a new alert, select "The Divergent" from the top drop down and select one of the Divergence signals (i.e. Regular Bullish) Step 9: Use the Webhook URL from your clipboard as the Webhook URL of the alert Step 10: Use the following alert message: {"content": "The Divergent detected a Regular Bearish Divergence (RSI) on {{exchange}}:{{ticker}} ({{interval}}) @TradingView #divergence $BTC "} Sample message delivered on Discord: "The Divergent detected a Regular Bearish Divergence (RSI) on BINANCE:BTCUSDT (60) @TradingView #divergence $BTC" Feel free to change the content to match your chart / type of divergence you are signalling in the alert. Note : It is important that you format your alert message as a JSON string, and that you key the message with "content". If you have never used JSON before, it is a good idea to validate your message via jsonlint.com to make sure it is a valid JSON string. Repeat the same steps for other charts / divergences. Create as many alerts, as many markets / divergences you want to signal to your Discord server. If you have any questions, please feel free to post it in the comments section below. If this tutorial was helpful to you, please consider giving it a thumbs up! Thank you!
Education
by WhiteboxSoftware
2
LUNAUSDT bearish divergence/ W pattern-bearish divergence: There is a bearish divergence on the chart of LUNA. There is a higher high on the price chart and a lower high on the RSI, wich means ther is a bearish divergance. The resistance is on 95.8 and is currently being tested. If the resistance breaks, the price will probably going down and retest the 50 EMA (red line) or thetrend will change from upp trend to a down trend. -W pattern: there is a W forming on the 4 hourly chart. With the dubbel bottom at 95.8 and the top at 99,4. So there are 2 options that coud play out.
by KasperDB
The easiest way to use divergences in your own Pine strategiesDetecting divergences in a Pine indicator / strategy is easy. You simply have to compare the pivot lows and the pivot highs on the price and the oscillator, and if you can identify a difference between the last & previous pivots made on the price and the oscillator, you have likely found a divergence. Using this theory, here is an example how you would detect a Regular Bearish divergence: While the theory of divergence detection is simple, more often than not, things go wrong (the divergence indicator used in the example below is TradingView's built-in Divergence Indicator ): Would you identify this as a divergence? If not, why not? Is it because the divergence line is slicing through the candles? Or because the line is slicing through the oscillator? Or something else? Wouldn't it be great if somehow you could filter out invalid divergences from code, such as this one? We at Whitebox Software were wondering about the same thing, and decided to find a solution to this problem. This is when we realised that while detecting divergences is easy, detecting valid divergences is hard... After several months in development, we are proud to present to you our divergence indicator called The Divergent . The Divergent is an advanced divergence indicator with over 2500 lines of Pine Script, exposing over 30 different configuration options, including 9 built-in oscillators, to allow you to tweak every aspect of divergence detection to perfection. For example, the Line of Sight™ filter in The Divergent would have easily filtered out this invalid divergence above. The Line of Sight™ filter will notice any interruption to the divergence line connecting the price or the oscillator, and will treat the divergence as invalid. This filter is one of many, which has been created to reduce the false positive detections to a minimum. (In later publications, we will discuss each and every filter in detail). Alright, so The Divergent knows how to detect accurate divergences, but how is it going to help you detect divergences in your own Pine strategy? The Divergent is not simply a divergence indicator - it can also emit divergence signals * which you can catch and process in your own strategy. You can think of The Divergent being a DaaS ( D ivergences a s a S ervice)! * Please note, that divergence signals is a Pro only feature. To use the signals, simply place The Divergent onto the same chart you have your strategy on, import "The Divergent Library" into your code, link your strategy to The Divergent using a "source" input, and act on the signals produced by The Divergent ! Here is a simple strategy which incorporates divergence signals produced by The Divergent in its entry condition. The strategy will only open a position, if the moving average cross is preceded by a regular bullish or bearish divergence (depending on the direction of the cross): //@version=5 strategy("My Strategy with divergences", overlay=true, margin_long=100, margin_short=100) import WhiteboxSoftware/TheDivergentLibrary/1 as tdl float divSignal = input.source(title = "The Divergent Link", defval = close) var bool tdlContext = tdl.init(divSignal, displayLinkStatus = true, debug = false) // `divergence` can be one of the following values: // na → No divergence was detected // 1 → Regular Bull // 2 → Regular Bull early // 3 → Hidden Bull // 4 → Hidden Bull early // 5 → Regular Bear // 6 → Regular Bear early // 7 → Hidden Bear // 8 → Hidden Bear early // // priceStart is the bar_index of the starting point of the divergence line drawn on price // priceEnd is the bar_index of the ending point of the divergence line drawn on price // // oscStart is the bar_index of the starting point of the divergence line drawn on oscillator // oscEnd is the bar_index of the ending point of the divergence line drawn on oscillator = tdl.processSignal(divSignal) bool regularBullSignalledRecently = ta.barssince(divergence == 1) < 10 bool regularBearSignalledRecently = ta.barssince(divergence == 5) < 10 float slowSma = ta_sma(close, 28) float fastSma = ta_sma(close, 14) longCondition = ta.crossover(fastSma, slowSma) and regularBullSignalledRecently if (barstate.isconfirmed and longCondition and strategy.position_size == 0)   strategy.entry("Enter Long", strategy.long)   strategy.exit("Exit Long", "Enter Long", limit = close * 1.04, stop = close * 0.98)   shortCondition = ta.crossunder(fastSma, slowSma) and regularBearSignalledRecently if (barstate.isconfirmed and shortCondition and strategy.position_size == 0)   strategy.entry("Enter Short", strategy.short)   strategy.exit("Exit Short", "Enter Short", limit = close * 0.96, stop = close * 1.02) plot(slowSma, color = color.white) plot(fastSma, color = color.orange) One important thing to note, is that TradingView limits the number of "source" inputs you can use in an indicator / strategy to 1, so the source input linking your strategy and The Divergent is the only source input you can have in your strategy. There is a work around this limitation though. Simply convert the other source inputs to have a string type, and use a dropdown to provide the various sources: string mySource = input.string("My source", defval = "close", options = ) float sourceValue = switch mySource   "close" => close   "open" => open   "high" => high   "low" => low   => na --- This is where we are going to wrap up this article. We hope you will find the signals produced by The Divergent a useful addition in your own strategies! For more info on the The Divergent (Free) and The Divergent (Pro) indicators please see the linked pages. If you have any questions, don't hesitate to reach out to us either via our website or via the comment section below. If you found value in this article please give it a thumbs up! Thank you!
Education
by WhiteboxSoftware
2