I am new to forex trading and I have been studying for nearly 3 months now. Today I was looking at a chart and reading about MACD divergence. I think I have spotted divergence (bearish) confirmed by price falling. Am I right? please have a look at the chart attached and let me know your thoughts. Thank you and good luck in your trading
Yep that you did see my friend however looking at that chart if you want to learn. Looking at your chart and only based on mcad divergance. You are getting a buy signal on that chart. The chart is small on my laptop but looks like the chart made a lower low and your macd failed to make a lower low so I would wait for price to retest that low and bounce then go long. I will add though your macd dont really seem to agree with the price chart witch is kinda weird. Also I am going to be honest with you here there a better divergencies to trade than this you will learn them as you progress as a trader. As of right now your main focus should be learning to spot them and how to trade them. Good luck and welcome to babypips
Thanks for your reply bobmaninc, I am still learning how to spot the chart patterns at the moment and that just seemed to agree a bit with what I was reading. As well with charts we have the gift of hindsight but I will continue to educate myself until one day I can trade profitably. Thanks once again and good luck to you too.