EURNZD SHORT TRADEEURNZD SHORT TRADE
Entry point :- 1.81265
Stop lose :- 1.82640
Risk :- 0.50%
Target 1 :- 1.7989
Target 2 :- 1.7852
Divergencetrading
STETHUSDTIs STETHUSDT exhausting at resistance zone?
As the price is been on high bull run but now it seems like price is lacking bullish momentum after printing double top pattern at resistance level and bearish divergence, suggesting the sell pressure is about to start.
If the bears took control , the 1st target could be 2720.
What you guys think of it?
How to Confirm a DivergenceI get a lot of messages from you guys talking about how #diivergences seem to play out or not get initiated or that you're having problems entering A #divergence trade.
In this video I'm presenting you a reminder of one of the steps you need to use and it is the the confirmation step that you need to use for confirming whether a divergence is actually going to start going in your favor.
By that I mean that you have already found the divergence and you're simply waiting to enter on the trade because as you should know by now just because you see a divergence doesn't mean it triggers you to start trading in a direction.
Finding the divergence is only step one but finding the entry is based off of the structure in price action that I have outlined in this video idea.
In this video I'm simply using the RSI to find a bullish divergence based off of the difference in bearish price action and you can see clearly how I implement drawing a area around the start of the divergence and wait for price to reach that area. If price never reaches that area then I do not trade bullish according to the bullish divergence instead you simply ignore the divergence and carry on with the rest of your #priceaction #trading.
#USDCNY long term selling opportunityPrice in Daily timeframe seems like to complete 5 wave bullish move and also we can see bearish standard divergence between price and MACD which is a very good signal for pinpointing the top.
But the important thing to remember before taking position is to see market structure shifting to the downside with forming a lower high or creating a new low which at the moment non of this signals has been given by the price.
So its best to wait for the price to confirm the bearish signals its giving to us before jumping to trade.
Please also look at the other analysis in the weekly timeframe that I have posted for higher time frame confirmations which is also tagged.
#USDCNY long term selling opportunityAs you can see in the chart massive bearish divergence between price and MACD indicator in weekly time frame which can cause a long term selling opportunity.
Also price is testing bullish trend line acting as resistance since its connecting the tops and every time price test this trendline sellers jumped into market and drive price lower.
Also as you can see we already had bearish divergence in the price before and caused prices to come lower in previous tops
USTECH Trade Plan Timeframe: 1H USTECH Trade Plan Timeframe: 1H
#NDX100 #NASDAQ #USTECH #TechnicalAnalysis #TradingOpportunity #Divergence #TradingSignal #USTECHtradingsignal #Forex
Hey traders! 👋 Let's dive into a potential trading opportunity on the USTECH pair using technical analysis. 📊
📉 Previously Bullish Trend:
Firstly, on the 1H- timeframe, we've been witnessing a Bullish trend in the USTECH pair. 🐻
🔄 Divergence on HH’S :
However, it's crucial to note that recently, we have started to observe a divergence pattern on the HH’s. This is an important signal that the Bullish momentum might be weakening. 📉🔄
📊 Trade Opportunity:
Currently, we are looking at a potential trade opportunity with a Bearish bias.
📈 Entry Price: 14850.4
🎯 Stop Loss Level: 14949.3
🚀TP1: 14756.8
🚀TP2: 14662.9
💰 Investment Advice:
Please remember that trading carries risks, and it's essential to have a well-defined trading plan, proper risk management, and stop-loss orders in place. This analysis is for educational and informational purposes only and should not be considered as financial advice. Make sure to do your research and consider your risk tolerance before entering any trade.
Happy trading, and may the pips be in your favour! 🚀📈💰 #HappyTrading #ProfitOpportunity #TradeSmart #CryptoSignal #StockSignal #TradingwithBelieve
Bearish divergence Bitcoin to -3000$if we don't break $12.400 with our uptrend , there is a HUGE posibility we will go below $3.000
#NZDCHF short term buying opportunityprice forming Higher highs and Higher lows in bullish channel and currently testing channel return line which also coincide with 4H time frame #demand area.
Also we have reverse bullish divergence and 30 minutes EMA acting as a Support just below the price.
All together gives confluences for this short term bullish idea
NAS100 Double BottomNASDAQ forming a double bottom on 15min time frame with bullish divergence.
Manage your Risk!
Trading RSI Divergence: Unveiling Potential Opportunities In the world of technical analysis, the Relative Strength Index (RSI) serves as a valuable tool for traders seeking to identify potential trend shifts and entry points. RSI divergence, a divergence between the RSI indicator and the price movement, is a powerful signal that can offer insights into upcoming price reversals. This article provides an in-depth exploration of how to identify RSI divergences and the different types that traders encounter.
Understanding RSI Divergence:
RSI divergence occurs when the movement of the RSI indicator diverges from the movement of the price chart. It can signal a change in momentum and a possible upcoming trend reversal. There are two main types of RSI divergence: bullish and bearish.
Bullish Divergence:
Bullish divergence happens when the price forms lower lows while the RSI forms higher lows. This suggests that although the price is trending downward, the RSI is showing potential upward momentum. Bullish divergence can indicate that a downtrend might be losing steam and a bullish reversal could be imminent.
Example of Bullish Divergence :
Bearish Divergence:
Bearish divergence occurs when the price forms higher highs while the RSI forms lower highs. In this scenario, the price is moving upward while the RSI indicates a potential loss of upward momentum. Bearish divergence can signal that an uptrend might be weakening and a bearish reversal could be on the horizon.
Example of Bearish Divergence :
Identifying RSI Divergence:
To spot RSI divergence, follow these steps:
Analyze Price and RSI Trends: Examine the price chart and the RSI indicator. Pay attention to the highs and lows on both the price chart and the RSI line.
Look for Discrepancies: In bullish divergence, when the price forms lower lows, check if the RSI forms higher lows. In bearish divergence, when the price forms higher highs, check if the RSI forms lower highs.
Confirm with Other Indicators: Utilize other technical indicators or chart patterns to confirm the divergence signal. These indicators can strengthen the validity of your divergence findings.
Consider the Trend: Evaluate the prevailing trend on higher timeframes. Divergence signals are more significant when they align with the broader trend direction.
Be Mindful of Timeframes: RSI divergence signals can occur on various timeframes. Consider using multiple timeframes to validate and refine your divergence analysis.
Conclusion:
RSI divergence is a potent tool that traders can use to identify potential trend reversals and entry points. By understanding the different types of RSI divergence and following a systematic approach to identification, traders can gain valuable insights into the underlying momentum of an asset's price movement. Remember that while RSI divergence can provide powerful signals, it's essential to use it in conjunction with other technical analysis tools for a comprehensive trading strategy. 🚀🔍
Time divergence trainingPlease note that the price was able to move from the ceiling during the time period specified in the box, but in the same time box, it could not return that way and it was filled within time. What it means in the market is that the power of buyers is more and there is a positive time divergence.
RLY 🏎️ Fractal Bullish DivergencesMaybe is finally the time for RLY downtrend as it is losing steam. We can clearly notices from Daily Swings a divergence but also on the short term after a liquidity grab we've got a hidden divergence so there are a lot of signs for this coin to be turned around.
The return could be really awesome! But notice it's been on a downtrend so DYOR
Still it's a nice chance now that's cheap and could be ready to pump!
Time ro Rally!
Kina 🏎️
COP- Divergences suggest bearish reversal.COP has had a brief trend up in the past three and a half trading days of about 8%. An analysis
of the 30 minute chart suggests this could reverse. Firstly, the HA candles are now narrow-
ranged and more or less Dojis. The MTF RSI indicator of Chris Moody shows dropping RSI
on the 5 minute TF while it is hold up at 100 on the 60 minute TF. The former is indicative
of bearish divergence. In a similar fashion the zero lag MACD shows an early cross-over of
the K and D lines over the positive histogram another bearish divergence and sign of impending
reversal of momentum. Based on all of this I will take two put option on COP striking $110
one expiring 7/14 and the other 7/21 targeting stock prices of $105 then $102. I am projecting
profits of 25% on the shorter trade and 75% on the longer trade. I will find the entry on the 5
minute chart looking for a pivot high coupled with a transitioning EMA200 from a positive slope
to zero or negative. Other traders may simply short COP and hold to the lower target.
Will Novavax NVAX go higher? SHORTNVAX popped today for a price jump of more than 20%. Canada agreed to pay out on a contract
for COVID vaccines it now does not want in the amount of $350M. This is hardly enough to
the fundamentals of the company overall. So the question arises, have traders and / or
investors overreacted to a one time bonus which is essentially revenue without overhead and
expense. My opinion is that this is an overreaction and that the price will drop after the
pop hits a high. Buying long right now is essentially the risk of buying a high that will not
go higher. On the Chris Moody dual RSI indicator, the longer one hour TM in black is over
75 while the shorter 5 minute TM in blue has peaked and dropped from 95 to 60. This is
in essence bearish divergence. The other indicator, the mass index, shows the value
arriving at the reversal zone where a drop to below 26.5 will be the trigger.
Overall, for both fundamental and technical reasons, I will enter a short trade on NVAX
expecting a correction / pullback from the pop the stock got after a one-time bonus of
a payout for not producing unneeded vaccines.
XAUUSD Bullish DivergenceBullish Divergance XAUUSD on 15min chart lets wait for divergence to play its role and place Buy stop at 1927.50
Manage your risk accordingly!
The Divergence Cheat Sheet: Your Quick Reference GuideHello dear @TradingView community!
In this guide, we will delve into the concept of divergence and its significance in technical analysis, specifically focusing on its application in the cryptocurrency market, particularly Bitcoin.
Understanding Divergence: A Key Concept in Trading
Divergence occurs when the price of an asset and an indicator, such as the Relative Strength Index (RSI), move in opposite directions. This pattern provides valuable insights into potential price reversals or changes in trends.
The Divergence Cheat Sheet
To help us identify and interpret divergence patterns, a divergence cheat sheet can be an invaluable tool. It provides a concise overview of different divergence patterns and assists us in making timely and accurate decisions.
By having a cheat sheet on hand, you can save time, reduce errors, and ensure they don't miss crucial signals in the fast-paced cryptocurrency market.
Detecting Divergence
Detecting divergence is crucial for identifying lucrative trading opportunities. By using divergence indicators like the RSI, MACD, or Stochastic Oscillator, we can gain significant insights into market trends and potential price reversals.
To pinpoint divergence effectively, follow these steps:
Choose an indicator capable of detecting divergence, such as the RSI, MACD, or Stochastic Oscillator.
Look for discrepancies between the indicator and the price action. Regular divergence occurs when the price and the indicator move in opposite directions, while hidden divergence occurs when they move in the same direction but at different rates.
Monitor the direction of the trend. Divergence can indicate a trend reversal, so keeping track of the current market trend is crucial.
Confirm the divergence signal with other technical analysis tools. Divergence is just one piece of the puzzle, so it's essential to use other indicators to validate your trading decisions.
Examples of Divergence in Trading Charts
Let's examine a few examples of divergence on Bitcoin charts:
Strong Bullish Divergence:
When lows of the price decreases while the RSI increases, a regular bullish divergence occurs. This signals a potential trend reversal and presents an opportunity for a bullish trade.
Strong Bearish Divergence:
When highs the price of an asset is rising while the RSI is falling, it indicates a regular bearish divergence. This suggests a potential trend reversal and presents an opportunity for a bearish trade.
Medium Bullish Divergence:
When the lows of an asset remain equal while the RSI is rising, it indicates a medium bullish divergence. This suggests a potential increase in price, although it may not be a strong upward movement.
Medium Bearish Divergence:
When the highs of an asset remain unchanged while the RSI is decreasing, it indicates a medium bearish divergence. This suggests a potential decline in price, although the downward movement may not be significant.
Weak Bullish Divergence:
When the lows of an asset is decreasing while the RSI lows is equal, it indicates a weak bullish divergence. This suggests a potential increase in price, although it may not be a strong upward movement.
Weak Bearish Divergence:
When the highs of an asset are rising while the RSI remains unchanged, it indicates a moderate bearish divergence. This suggests a potential decline in price, although the downward movement may not be significant.
Hidden Bullish Divergence:
Hidden bullish divergence occurs when the price creates higher lows while the RSI is creating lower lows. This reinforces an existing uptrend and suggests its strength.
Hidden Bearish Divergence:
Hidden bearish divergence is observed when the price forms lower highs while the RSI forms higher highs. This indicates a potential weakening of the current uptrend and might signal a trend reversal or a pullback.
By recognizing these divergence patterns on trading charts, we can gain insights into potential market reversals, entry and exit points, and adjust trading strategies accordingly.
Incorporating Divergence into Your Trading Strategy
To effectively incorporate divergence into your trading, consider the following steps:
Identify the appropriate indicators: Choose reliable indicators such as RSI, MACD, or Stochastic Oscillator that can detect divergence patterns effectively.
Learn to spot divergence: Familiarize yourself with the different types of divergence patterns and practice identifying them on price charts. This will help you develop a trained eye for spotting potential trading opportunities.
Confirm with additional analysis: While divergence can provide valuable signals, it's essential to use other technical analysis tools to confirm your trading decisions. Look for supporting indicators, chart patterns, or trendline breaks that align with the divergence signal.
Set clear entry and exit criteria: Define your entry and exit points based on the divergence signal and your risk tolerance. Consider using stop-loss orders and take-profit levels to manage your trades effectively.
Practice risk management: Implement proper risk management techniques, such as position sizing, to protect your capital. Divergence alone should not be the sole basis for your trading decisions but rather an additional tool in your arsenal.
Backtest and refine your strategy: Test your divergence-based trading strategy on historical price data to assess its effectiveness. Make adjustments as needed and continuously monitor and evaluate your results to improve your trading approach.
Remember, divergence analysis is not foolproof and should be used in conjunction with other technical analysis methods and market factors. Regular practice, continuous learning, and adapting to changing market conditions are crucial for successful trading.
Divergence analysis is a powerful tool that can provide us with an edge in the cryptocurrency market. By understanding and effectively utilizing divergence patterns, we can identify potential trend reversals, improve entry and exit timing, and enhance overall trading strategy. Incorporate divergence analysis into your trading approach and combine it with other technical indicators and risk management techniques for a well-rounded and informed trading strategy.
🔔BTCUSDT🔔Considering the return of the price from the resistance range and also the negative divergence in the RSI, we expect to have a correction from this range...
WOMAN , LIFE , FREEDOM✌
UK100 Bullish DivergenceBullish Divergence formed on UK100 30mins, place your buy stop or wait for LH to break.
Manage your Risk Accordingly!
EURGBP BULLISH IDEA (HARMONICS REVERSAL PATTERN)Potential Bullish Entry
Dow Theory In Place - Higher High and Higher Low Expected in Place
Formation of Harmonic Bullish reversal Pattern coupled with bullish divergence at potential reversal zone (PZR)
Entry, SL & TP Levels are defined.
W9.1-32GBPJPY BULLISH IDEA (BULLISH FLAG & DOUBLE BOTTOM)POTENTIAL BULLISH ENTRY
Dow Theory In Place - higher highs and higher lows Expected in Place (Trend continues)
Formation of bullish flag coupled (continuation pattern) and double bottom coupled with bullish divergence
SL & TP Levels are defined.
Revision: Fetch weekly long gameI misspoke in my previous iteration. There's a hidden bullish divergence indicating a trend continuation on the weekly chart. Placing the long position with the SL at the previous swing low and setting a 2:1 P:L ratio it appears to be possible to attain a 50% return.
In the previous iteration I erroneously mentioned a 2x potential when it's a 1.5x potential.
Weekly Fetch long gameWeekly chart shows a bullish divergence just before a doji. Watchlist. If Bull run confirms next Sunday the standard 2:1 P/L ratio indicates an opportunity to potentially 2x on a single long position
PSNY: DIVERGENCE / CALLS FOR MAY / US TOUR CATALYST / EV GROWTH DESCRIPTION: The following chart is an micro analysis based of technicals & current PSNY US TOUR that can soon prove to be a bullish catalyst for the next big bounce.
POINTS:
1. Deviation between Supply & Demand Pockets remains at 1.50.
2. $3.25 is CRUCIAL SUPPORT THAT MUST HOLD.
3. Break past $4.00 threshold by April 19th is necessary for bullish case to take place.
INDICATORS: In regard to indicators RSI is showing strong divergence on the 4HR Timeframe which has been indicative of a sudden bullish reaction in the past when price action has ben in a consolidating phase. An important level to watch when it comes to MACD would be -0.5 currently MACD is close to crossing over but needs to stay above to further validate play.
SCENARIO #1: In a BULLISH scenario we come to see price action break past the $4.00 threshold by at least April 19th.
SCENARIO #2: In a BEARISH scenario we lose CRUCIAL SUPPORT of $3.25 & see a continuation of bearish price action too $2.50.
FULL CHART LINK: www.tradingview.com
NASDAQ:PSNY
NASDAQ:PSNYW
