What is divergence? Divergence is a method used in technical analysis when the direction of a technical indicator, usually some form of oscillator ‘diverges’ from the overall price trend. In other words, the indicator starts moving in the opposite direction to the price and the trading oscillator signals a possible trend reversal. Once divergence appears, there...
NSE:NIFTY NSE:CNXMIDCAP NSE:CNXSMALLCAP Diverging for couple of days. Ideally the broad market shall start picking up. While Nifty is getting selling pressure near the Highs today. Midcap and Smallcap Index getting buying near support zone. Midcap and Smallcap shall start picking up from here on. The Broader Market Indices must converge with the Mainstream...
Be it RSI, MACD or any oscillator this is how you need to identify the Pattern with its strength What you see above is Bullish Divergence ... With this understand how a bearish divergence will be. Train Your eyes... then train you mind..
If you have been in the market for some time, you may have heard of something called “divergence” . Today we are going to share an informative write-up along with a few exhibits that may help you solidify your understanding of this important trading concept. This post will also lay the groundwork for future posts about related topics. Please remember this is...
In the last thread, we discussed the basics of divergence. In this thread, we are going to learn about the positive divergence a.k.a Bullish divergence. I'll cover it in 3 parts: 1. What is bullish divergence? 2. Types of bullish divergence 3. Subtypes with illustrations So, let's move ahead! What is Bullish divergence? A bullish divergence occurs when prices...
Hello all, today we are going to learn about divergence. A simple topic, which often confuses the newbies. I'll keep this thread short since this will lay the groundwork for the upcoming threads. Please go through this thread before proceeding to the next threads. Foreward In this thread, I would explain the following as easily and briefly as possible: 1. What...