Momentum indicators are technical analysis tools used to determine the strength or weakness of a stock's price. Momentum measures the rate of the rise or fall of stock prices. Common momentum indicators include the relative strength index (RSI) and moving average convergence divergence (MACD).
A proper divergence trading strategy is based on your knowledge of 4 different types of divergences. In this divergence trading strategy video I will teach you how to identify the following:
Normal Bullish divergence Normal Bearish divergence Hidden Bullish Divergence And a Hidden Bearish divergence.