Hidden Negative Divergence

Hidden Negative Divergence

Hidden Negative Divergence

When prices makes a new Lower High, but Oscillator makes a Higher High

  • Non confirmation is mainly found during corrective rallies in a downtrend, but may also occur during retest of a High.
  • Hidden Negative Divergence signals potential underlying weakness in an Instrument.
  • A false Hidden Divergence is similar to a false Negative Divergence, in that momentum has changed, but not enough to produce a major price change.

(To view practical examples of Hidden Negative Divergence click here)

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