What is divergence?
Divergence is when price moves in an opposite direction to the oscillator.
What is an oscillator?
An oscillator could simply be an indicator like RSI. It’s not important to know the exact mathematics behind the indicators, but they are used to predict trend reversals.
Trading divergence using the RSI, can be very accurate and profitable.
How to trade divergence?
1. Open your chart
2. Add the RSI indicator
3. Wait for price to go on the opposite direction of the RSI
4. If price goes down and RSI goes up: BUY
5. If price goes up and RSI goes down: SELL
@CryptoTrades #education #trading #divergence #rsi #oscillator #signals #cryptotradespremium #winningsignals
Divergence is when price moves in an opposite direction to the oscillator.
What is an oscillator?
An oscillator could simply be an indicator like RSI. It’s not important to know the exact mathematics behind the indicators, but they are used to predict trend reversals.
Trading divergence using the RSI, can be very accurate and profitable.
How to trade divergence?
1. Open your chart
2. Add the RSI indicator
3. Wait for price to go on the opposite direction of the RSI
4. If price goes down and RSI goes up: BUY
5. If price goes up and RSI goes down: SELL
@CryptoTrades #education #trading #divergence #rsi #oscillator #signals #cryptotradespremium #winningsignals