RSI divergence
Indicators I
When momentum disagrees
Price makes a new high but RSI makes a LOWER high. The move is running on fumes. Divergence is early and wrong often, so it's a warning to tighten, not an instant fade.
Check yourself
Bearish divergence = new price high + …
- Higher RSI high
- Lower RSI high correct
- RSI at 50
Price up, momentum down: the engine and the speedometer disagree. Trust it with confirmation.
Learn this properly
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