Technical Analysis with divergence

Do you see what action price does during up trend and down trend? If you see then you may catch point as Higher high and Lower low price. But how you guess it? The answer is divergence. It tells you where those your marking points. And you can analysis price action better for the help of divergence. But careful it needs some tolerant practice, because many times false divergence happened and as a novice trader you may guess it exact divergence. You must be using for guessing true divergence by MACD. When the market is higher high MACD shows to you Lower High and Lower low it shows Higher low. There are two types of divergence,

*Regular Divergence
*Hidden Divergence




Remember the following facts:

*If market moving uptrend then you will find Higher low to Higher high.
*If market moving down trend then you will find Lower high to Lower Low.
*you must be search the last level double top or double bottom patterns.
*Divergence tells you if price moving continue direction or opposite direction.
*Hidden divergence is difficult to recognize for newbie.

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