Forex Divergence Trading - Technical Analysis Tips Sinhala
Forex divergence trading strategy is my new blog post. many traders use some divergence strategies when they trade in the currency market. I will guide you, How to trade with divergence on this blog post with my style.
every time we are trading with divergence, we use oscillator indicators like stochastic RSI MACD etc. oscillators are lagging indicators. so we need to know how to use them perfectly in trading. try to understand and test this strategy on your demo account before using on real Trading account for Trading with divergence
every time we are trading with divergence, we use oscillator indicators like stochastic RSI MACD etc. oscillators are lagging indicators. so we need to know how to use them perfectly in trading. try to understand and test this strategy on your demo account before using on real Trading account for Trading with divergence
Look at this post to know how to add Stochastic oscillator to chart on meta trader platform.
What is Divergence
Basically, divergence has two types. regular divergence and hidden divergence. I will write another post on That Title. on this image, you can get an idea how divergence are working
The bullish Divergence we need to find the bottom on market. that means, on the support level. and the bearish divergence we need to find the top of the market. that means, on the resistance level.
The bullish Divergence we need to find the bottom on market. that means, on the support level. and the bearish divergence we need to find the top of the market. that means, on the resistance level.
The easiest way to find a trend change is divergence. so we need to wait for divergence to get our new position on support or resistance levels. but at some times, divergence is giving wrong signals. see this image.
many times the indicator saw the bearish divergence. but the market did not reverse.
Divergence + Trendline Breakout.
let’s get out on this wrong technique. try to add a trendline to divergence area.
now we have a good confidence about movement on market. because we can confirm our divergence entry with trendline breakout. this strategy is perfect for every trader in the forex market.
waiting is trading. we need to wait for when market form divergence on supply or demand zone with trend line breakout, to get a perfect trade entry.
Here's the journey. Are you successful?
This is the situation today
I saw a video on this on the web. You can even make it clearer.
final word: divergence trading is not magic. we need to use them perfectly with oscillator indicator and trendline we can do this job perfectly.
NEWS TRADING STRATEGY POST ALSO AVAILABLE and you can get more forex trading strategies on this site. look at the menu, that placed on top of the blog.
I still learning English. but I think you can understand what I am talking about. Let’s meet in next blog post. The comment section is always opened for you. Tell me something about the blog and this blog post.
Have a great day
