Beware: Divergences are Not a Trade Signal (nor an Exact Science) One thing that you cannot afford to get mixed up is this: Divergences are an indicator NOT a trade signal. It would be a bad idea to trade solely on the divergences that you believe you see in the market. You would end…
The 10 Commandments of Trading Divergences Divergences are what traders use when they are trying to spot a trend that is getting weaker. They want to see a trend that is getting weaker because they may believe that this is likely to indicate that there could be a reversal coming. There are ten rules…
How to Trade Divergences Knowing what divergences are and knowing how to trade them profitably are two different things. You should put forth your best effort to trade divergences in a way that will be fruitful and profitable for yourself whenever possible. How to Trade Regular Divergences As you can see…