Divergence on the daily, what could happen ?
Updated
Divergence occurs when the indicator fails to imitate the pattern on the price chart, a sign of trend weakness and likely reversal. In an up-trend, if the price makes a new High (a higher peak than the last) but the indicator fails to do so, that is a bearish divergence.
You can see the supports that can resist the price fall However, 30k is strong support breaking it will get the price to the bottom at 20k.
You can see the supports that can resist the price fall However, 30k is strong support breaking it will get the price to the bottom at 20k.
Note
wait the price to see if it will break 42k or retrace.Waiting for the candle to close depending on your trading speed is important.
Note
price reached above ATH.It didn't break 42k so no longer valid, and changed to a long position signal after crossing up 58k.
Trade closed: target reached
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