Added: 3 years ago
From: terraseeds
Views: 32,314
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  • happy SCALPING...nice vid

  • stock is entered in a long position right in a down trend. Looks like a high risk . macd divergence is used a possible trend reversal that would signal those in a short position. not to enter a trade. Enter a long position when the price is above the trend line.

  • so what is the signal to sell?

  • You left out something important - you didnt describe what the *SELL* signal was.

    Was this an oversight or just an intentional tease?

  • @Leutchik A tease. Anyway, here is an answer to your question: She should sell as soon as the MACD histograms indicates a reduction in distance between the 12 and 24 EMA in other words when the histogram starts to "dip" as this indicates that the trend she had bought into is nearing an end.

  • hi, thanks for sharing this example.

    even though this is picked in hindsight, it still shows you that you should look for the setup: price making lower lows, but MACD showing positive(up) divergence.

    Watch again if you didnt catch on!!

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