Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.
kanch
-
Content Count
1 -
Joined
-
Last visited
Everything posted by kanch
-
I think it does. One has just to study specific examples to prove this. I have studied both macd and rsi indicators and i have found out that divergence really exists. In an up trend, higher highs are made, and so with the macd and rsi levels. However, when the trend is about to reverse, on the next high (which would be the last), the macd or rsi will not show higher high. The next macd or rsi high will be lower than the previous. This is what is called divergence. It is now time to reverse trend.