Previous post Short is still in effect for H4 timeframe, but will have a Long signal when 13CCI crosses up through a down trendline. Because any move up from the 38.2% retracement off Jul 20 upmove could be powerful, I'm showing the earlybird H1 view of CCI showing divergence, and likely being within a couple of hours at the earliest, of crossing up thru down trendline. Aggressive scalpers probably went long at the touch of 38.2% retr.
Excellent catch on the divergence setup; thanks for pointing it out.
nicker
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@rookie007, Tx....it can work short-term, yet A caveat is that divergence doesn't mean much for longer term trades unless/until it is divergence between adjacent price cycles
rookie007
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@nicker, adjacent price cycles, interesting not something I have looked for, I'll have to adjust my vision. Thanks.
nicker
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@rookie007, That's if using 13 CCI, which catches the OK % of continuation bounces for me. But if folks use a longer sma with CCI, e.g. 20CCI, or 34 or 100, the caveats will vary for sure.
rookie007
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@nicker, for sure, but I'm sure the ratio would still exist between adjacent price cycles and closely aligned charts.