i m studying divergions in order to improve my strategy which is based on divergions, using macd and fibs.
Now I have noticed that divergions do not work always. I m researching why. When i say why i do not mean news but other reasons.
Here is an example where after i saw divergion (and had two loosing trades) i realised that the price was in a channel. So a good question could be are channels stronger than price divergence?
Any ideas?
Any ideas on this trade why it didnt work?
Any ideas on how to filter out bad divergence that doesnt work?
Any ideas/advises/links etc etc really very welcome