All language subtitles for 5. Divergences--- [ DevCourseWeb.com ] ---

Daytraders Welcome back to model 4.5.

And then there's Mondial we'll be covering on the topic of divergences yet this is the first time I'm

bringing an indicator to this course.

And the only reason I look at them is to be able to spot regular unhidden divergence which can signal

a turning point in the market.

That indicator will be using as a s.c.i with a 14 period which is the standard default setting.

And you may also use other oscillators as you prefer.

So for this diagram says everything you need to know about divergencies.

Right.

There's the hidden and there's the regular one on the left here.

You see price being lower lows but the indicator is making a higher low key.

This is so classic regular the vergence that tells you price may reverse the hit and they're virgins.

It's not as common.

It's not widely used but it's for continuation instead of a reversal case of first price has to be in

trend as it retraces as it made a pullback in the carrier makes a new low.

This is a trigger for us to re-enter the market.

That's trying to spot some regular divergence as first four hour reversal pattern.

So we have one right here.

So price made a high s.c.i is on the overbought level.

That's the first criteria.

Guys I would have considered valid if the CCI is not above the 100 more or whatever oscillator using

mixtures of both the overbought level made a second push up in this case it's about equal right.

It's not perfect.

It's not higher by a lot but this is still valid still because the indicator tried to make a new line

and failed.

So knowing this divergence we could start looking for our short set ups right at this Kandahar this

red line here.

Much to turn in direction so from this red light onwards it's a short all the way until you see another

along here.

Of course this has to be combined with lot of those as well.

And if you look to the left you could see that we're in a support area.

Okay.

Me just draw some trend lines for you

does Katy mean that equal high and lower or high and CCI.

And we have a really nice set up.

The hit in the regions

Trius is in a doctrine and we're looking for areas to re-enter.

Sure transmit a low low indic. makes a Hymes that and this coincides also with our levels look to your

left

and their example of regular divergence that's makes in the low.

This is already on the Overijssel.

Well in the heat it makes in the high OK.

So this might still turn in press and the change of direction as you go is another one.

Forgot to mention earlier on the hidden regions.

The second push to the upside to the downside of its trend has to be on the extremes as well which is

above 100 on the overbought area here for it to be it.

Just go back to the previous example.

Right.

Right.

It's over.

It's over but

you guys so basically a remember we look at price first in the queue and a second day we then just treat

these divergences lightly.

It has to coincide some sort of support or resistance to the war.

Which are covered in three which is so high probability levels OK.

And that sums up this model on the origins.