RSI Divergence



RSI Divergence Interpretation:

The divergences indicate a slowdown of the current trend and a probability of a reversal. If a bullish divergence is detected this indicator will return +1 (green histogram). If a bearish divergence is detected, this indicator will return -1 (red histogram). If no divergence is detected, this indicator will return 0.

Tip:

If looking at a price chart, an RSI chart and an RSI Divergence chart, make sure that you have set the parameters of the RSI and the RSI Divergence to the same levels (ex: 21)

Volume Oscillator Calculation:

This indicator detects bullish and bearish divergences between price and the RSI. A bullish divergence occurs when the stock price makes new lows while the indicator starts to climb upward. A bearish divergence occurs when the stock price makes new highs while the indicator starts to fall lower.




Return from RSI Divergence to Using Indicators

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