Got a question about divergence,
I’m using the 1 hour chart and some times see divergence happening.
Question: Is every Divergence true or will you sometime get court out,meaning
I saw a divergence and it didn’t turn around.
the pair is the USD/CHF using the SSD slow…(if you guys wanna check it out)
Thanks Rafael
As with any other pattern, you wont win them all and they(the patterns) shouldn’t be the only reason for an entry. Try using a higher time frame or fundamentals to arrive at a bias then you can look for divergence on the 1H enter.
Its not my only reason for entry, but I’ve been seeing it happen a few times now and thought to put it on the forum, see what the feed back would be…
Thanks Rafael
Generally, the lower the timeframe, the more times you will get caught out.
Divergence works well on higher timeframes but you have to understand that it is just an indicator. Sometimes you can get divergences just because of lower volume or a weakening trend but who’s to say it won;t strengthen again the next hour.