LECTURE ON DOUBLE TOP AND DOUBLE BOTTOMS WITH RSI DIVERGENCE
hello traders
i wana make it known and clear especially to those who asked me how to trade double tops and bottoms. this is with respect to the trade i made to my memebers
in this setup, look clearly, you will see points A, B and C on the chart and their respective RSI chart points too
Point A. look at the price chart. the prices there close one above another in an oblique fashion. also look its RSI point A while you will see that the chart there is also in oblique but in opposite as the price chart. did you see that?
for point A, this is a clear double bottom or DB which should have been traded if not.
Point B. look at the price chart. the prices there close one above another in an oblique fashion. also look at its RSI point B while you see the chart there is also in an oblique and opposite direction as the price chart. this is also a double top, but i would not trade it because, the first touch was not in oversold condition with respect to its RSI chart. did you see that?
also this point B is where i give my member a trade today on completion of gartley on two positions - targets 1 and 2. but did not trade a third position since here there was no clear RSI divergence.
Point C. look at the price chart. the prices there close one above another in an oblique fashion. also look at its RSI point C while you see the chart there is also in an oblique but not in an opposite direction as the price chart. In this case, it is a double bottom as the price chart terminates on a support, but i will not trade it as there is no change in its RSI chart. it doesnt mean whether the market will still go or not, but you need some level of confirmation before you push the button.
the difference in the price chart and RSI chart component on the bottom or top is known as RSI divergence if it diverged to the opposite side as in points A and B and not C.
hope this helps alot.
if you like what you see here please click the button.
comments are welcome for any question or contribution.
i wana make it known and clear especially to those who asked me how to trade double tops and bottoms. this is with respect to the trade i made to my memebers
in this setup, look clearly, you will see points A, B and C on the chart and their respective RSI chart points too
Point A. look at the price chart. the prices there close one above another in an oblique fashion. also look its RSI point A while you will see that the chart there is also in oblique but in opposite as the price chart. did you see that?
for point A, this is a clear double bottom or DB which should have been traded if not.
Point B. look at the price chart. the prices there close one above another in an oblique fashion. also look at its RSI point B while you see the chart there is also in an oblique and opposite direction as the price chart. this is also a double top, but i would not trade it because, the first touch was not in oversold condition with respect to its RSI chart. did you see that?
also this point B is where i give my member a trade today on completion of gartley on two positions - targets 1 and 2. but did not trade a third position since here there was no clear RSI divergence.
Point C. look at the price chart. the prices there close one above another in an oblique fashion. also look at its RSI point C while you see the chart there is also in an oblique but not in an opposite direction as the price chart. In this case, it is a double bottom as the price chart terminates on a support, but i will not trade it as there is no change in its RSI chart. it doesnt mean whether the market will still go or not, but you need some level of confirmation before you push the button.
the difference in the price chart and RSI chart component on the bottom or top is known as RSI divergence if it diverged to the opposite side as in points A and B and not C.
hope this helps alot.
if you like what you see here please click the button.
comments are welcome for any question or contribution.
