Hidden Bearish Divergence
This occurs when price makes a lower high (LH), but the oscillator is making a higher high (HH). This occurs in a DOWNTREND. When you see hidden bearish divergence, chances are that the pair will continue to shoot lower and continue the downtrend.
Regular divergences = signal possible trend reversal
Hidden divergences = signal possible trend continuation
RSI daily showing Hidden bearish divergence (red lines) like in the past. Here we have a very good information from oscillator and price action!
Expecting a pullback to retest the resistance broken on RSI ( Black line).
Cheers.
This occurs when price makes a lower high (LH), but the oscillator is making a higher high (HH). This occurs in a DOWNTREND. When you see hidden bearish divergence, chances are that the pair will continue to shoot lower and continue the downtrend.
Regular divergences = signal possible trend reversal
Hidden divergences = signal possible trend continuation
RSI daily showing Hidden bearish divergence (red lines) like in the past. Here we have a very good information from oscillator and price action!
Expecting a pullback to retest the resistance broken on RSI ( Black line).
Cheers.