What will happen on this third hidden bearish divergence?
A high quality signal from the past August of 2019.
A hidden bearish divergence is when price makes a lower low but RSI makes a higher high.
On this chart, we can see that we've had two hidden bearish divergences on this downtrend move.
The other thing I see from a high time frame perspective is the lower highs that have been rejected at former weekly resistance levels.
We can also see the weekly RSI is moving into a transition zone similar to 2018.
For this to be invalidated, we need to see a close above $9900 (in my opinion.)
This may play out down to $7400 (weekly open), $7150 (yearly open) or lower depending on the strength of the bears.
It'll be interesting to see how this plays out.
Let me know what you guys think in the comments. As always, if you enjoy my content, hit me with a like. Appreciated.
A hidden bearish divergence is when price makes a lower low but RSI makes a higher high.
On this chart, we can see that we've had two hidden bearish divergences on this downtrend move.
The other thing I see from a high time frame perspective is the lower highs that have been rejected at former weekly resistance levels.
We can also see the weekly RSI is moving into a transition zone similar to 2018.
For this to be invalidated, we need to see a close above $9900 (in my opinion.)
This may play out down to $7400 (weekly open), $7150 (yearly open) or lower depending on the strength of the bears.
It'll be interesting to see how this plays out.
Let me know what you guys think in the comments. As always, if you enjoy my content, hit me with a like. Appreciated.
Comment:
Haha... Get rekt noob trader.
We did breakout of one downtrend resistance, but recently wicked up to the 200MA (daily) that held us as support before the China pump
Invalidation would be a break and close above 200MA in my opinion
Hidden bear div also present on daily RSI.