MACD Divergence Strategy

XRanger

Active Trader
Dec 18, 2009
10
0
32
Thanks for sharing. Divergence is a very good set-up, however it is very suggestive and is hard to identify objectively in real time. It is better to use an indicator to generate the divergence signals (ITIC sells one).
 

Vanhook2

Active Trader
Jan 28, 2010
10
0
42
-5 GMT
Just to help the thread on the way....

Here is a MACD indicator that shows divergence.
 

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kelvinlee

Active Trader
Personally, I also love to trade MACD divergence as I find them pretty consistent.

It will be better if you can add an oscillator like RSI or Stochastic to it as it can improve your entry position.

When you see a divergence, you will check your indicator for sign of overbought or oversold before you enter your trade. This can gives you a better entry.
 

brad411

Active Trader
Jun 11, 2010
1
0
32
Divergence has been one of the better strategies for me, knowing when to pull the trigger is the tricky bit, i like to use S+R, pivots and trend channels for confirmation.
4hr charts have given me the best results...find them less choppy.

Brad.
 

toibit

Newbie
May 7, 2022
20
1
3
39
MACD divergence is a great way to trade but I also like to use it along with the Stochastic indicator.