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Divergence
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Divergence as an exit.
Divergence is a powerful tool that can help us determine market momentum.
There are many ways to see divergence and it can range from the MACD, to the RSI to even price action itself.
Sometimes divergence isn't going to be a reason to get into a trade, it can just be a reason to get out of a trade.
This video demonstrates how I would use the divergence on the MACD to exit a trade:
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Originally posted by Russ View PostDivergence as an exit.
Divergence is a powerful tool that can help us determine market momentum.
There are many ways to see divergence and it can range from the MACD, to the RSI to even price action itself.
Sometimes divergence isn't going to be a reason to get into a trade, it can just be a reason to get out of a trade.
This video demonstrates how I would use the divergence on the MACD to exit a trade:
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Originally posted by Emir View Post
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Originally posted by Russ View PostDivergence as an exit.
Divergence is a powerful tool that can help us determine market momentum.
There are many ways to see divergence and it can range from the MACD, to the RSI to even price action itself.
Sometimes divergence isn't going to be a reason to get into a trade, it can just be a reason to get out of a trade.
This video demonstrates how I would use the divergence on the MACD to exit a trade:
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Hi Jackpot,
I don't understand the question...
The MACD in the video is the MACD histogram, the actual MACD Line and its signal line are invisible.
The moving averages used to to create the AMCD will be the 12 and 26 EMAs, and the signal line will be the 9 SMA.
The space between the AMCD line and the signal line is then shown as the histogram that we see on the chart itself.
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