To trade HD's we set up the trade like this...
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DislikedSo that the current bar is HD, it MUST CLOSE below the previous one. If this does not happen and it closes above the previous one, we get the usual regular divergence. (as now on H4)Ignored
Disliked{quote} That is correct. However most often it is going to be pretty clear a hidden div will form while in the div state. A risky trader, like myself, will take a punt and jump in at this early stage (only risking 10 pips of a first entry). Then my second entry will be picked up on the snap back. Then it all depends on the distance back to the EMA as to whether I can get the third trade on and hope to make the 40 pip profit. Often only two entries are made and sometimes just the first. It is for this reason the better signal comes from the 1 hour...Ignored
DislikedThat is correct. However most often it is going to be pretty clear a hidden div will form while in the div state. A risky trader, like myself...
Plenty to chew over there for the weekend.Ignored
Disliked{quote} I have not decided to write it for a long time. I believed that it could be misunderstood. But after this post, I can no longer hold back and should speak. Exactly the same technique of working with HD, my mentor showed me more than 10 years ago. When I asked him, if he had familiar traders in Australia, he replied that no. After that, I realized that we live in a virtual world where everything is absolutely connected with each other. ))) Two unfamiliar people came to the same discoveries completely independently of each other. The only...Ignored
Disliked{quote} Hi Mr. Alan, I've been confused for a while that why did you use rsi_divergence indicator to find HD instead of just Rsi14? I also have that indi in my chart but actually I don't use it. {image}Ignored
DislikedHi Alan, I saw so many Hook after divs, the problem is some Hook have div or rsi extreme, so I can easy deal with it, but some Hook have no signal. How can you deal with those cases?Ignored