But how to understand the numbers of this great indic ? Thanks forex factory divergent indicator 13 ur indicator and today i’ll try this and i’m a newbie.
Hi Seven, Thanks for ur indicator and today i’ll try this and i’m a newbie. Could anyone develop or refer me to where I could locate a dashboard for any of the attached indicators? This is interesting, anyone know what the currency strength meter is made on? Divergence is measuring of price action in relation with an oscillator indicator.
The type of oscillator doesn’t matter you can use any oscillator including MACD, RSI, Stochastic, CCI, etc. Divergence act as leading indicator informing ahead of time either the trend will continue or fade. With a little bit of practice you can master divergence and it will become easy for you to spot divergence. If the price is making higher highs, the oscillator should also make higher highs. And if the price is making lower lows the oscillator should also make lower lows. There are two type of divergence i.
If the price action is making lower lows but the oscillator is making Higher Lows then we say it a regular divergence, and is a signal for trend reversal. If the price action is making Higher Highs but the oscillator is making Lower High then we say it a regular divergence, and is a signal for trend reversal. Hidden divergence usually triggers trend continuation. If the price action is making higher lows but the oscillator is making lower Lows then we say it a hidden divergence, and is a signal for bullish trend continuation. If the price action is making lower highs but the oscillator is making higher high then we say it a hidden divergence, and is a signal for bearish trend continuation. Once you do that, you get the Parameters Box for the Indicator and specify the paramaters you want. Hi, when does the indicator appear on the charts in terms of lag?
IFC Markets: CySEC RegulatedEXNESS: low spreads – just excellent! MACD Divergence Forex trading strategy — is one of the quite reliable systems and is based on the standard MACD indicator. Actually, the divergence between MACD line and the currency pair rate is the basic signal in this strategy. Take-profit and stop-loss levels are rather indefinite. Rare occurrence on the long-term charts. But shorter timeframes are recommended, as they yield more opportunities. Entry Conditions Enter Long position when the price shows a bearish trend and MACD indicator shows a bullish trend.