This can be seen when the pair is in a uptrend. Once price makes a higher low (HL), look the oscillator does the same. If it doesn't and makes a lower low (LL), then we've got some hidden divergence in our hands. The normally occurs at the end of bearish trend.
Buy only if Index moves above 10925 with strict stoploss below 10900
Targets-10950 / Above 10950 -11040/11050
Sell below 10865 & 10850 with stoploss-10900
Is this a bearish divergence or a hidden bullish divergence?
Please leave your response with a valid reason.
I wont be answering this question as I want you to do your research and find the answer for yourself and in the process of finding the answer I am sure you will get to learn a lot about divergence. I have seen a lot of posts and personal messages on...
For me, an indicator is a tool that provides me a message how the market 'may' behave in future. Which not at all means that the market 'will' behave as has been indicated. Almost all successful traders will agree with me if I say that there are no 'Red' and 'Green' signals in the market.
For example in the current market scenario, the index has been drifting down...
KAJARIACER: Daily Chart
Price took support on Weekly support.
Price broke through trendline and also 50 EMA.
Currently, Price is in pullback mode and formed Inside Bar.
There is divergence in RSI and Price Action, Price making lower low and RSI making higher.
It can move upside if successfully breaks out of Inside Bar.
Education purpose only.
1) PRICE_ACTION: DIVERGENCE indicating
CONTINUATION OF UPTREND, and
price-action is also following (BLUE) TrendLine
2) DELIVERY : Reduced from 5.07 lac to 2.88 lac.
3) OI : Increasing from 3 days (July Series) with
2.47 lac contracts added on Friday vs 67.5k
contracts added on Monday (today)
4) Options : Highest number of contracts added
1) Divergence seen on Thursday followed by Bullish candle on Friday & doji-like today
2) OI of JULY Series is increasing from last 4 days.
3) Highest Option writing on 520 CE Option (1.65 lac)
4) Resistance level @ 519.4
5) Delivery increasing from last 3 days. (Out of
which last 2 days price has increased)
WOULD BE A GOOD BTST.
Expected to move up...
Right now MINDTREE no trade zone.
It is always better to take CONFIRMED trade rather than taking trades based on HOPE.
Remember, Market will always crush your HOPES. So always take calculated trades.
Follow if you like the analysis, and if not, then constructive criticism is always WELCOME.
I am surprised to see how this simple strategy could yield such handsome return in the Index futures.
Time Period= 1 June till date
Chart= 15 min.
1. Divergence on Stochastics associated with inverse price movement
2. Entry @ break above/below immediately preceding "minor" swing high/low
3. Stop @ below/above immediately preceding "significant" swing...
Developed by George Lane in 1950 – Stochastic (SO) is a momentum oscillator, that is, it follows the momentum of price. Its value oscillates between 0 to 100.
The general interpretation of SO is that stock is overbought when SO value is above 80 and oversold below 20. But to what extent this interpretation is correct? Let’s find out.
I am taking State Bank's...