divergence is a very strong indication that price will retrace...it doesnt tell you when it will retrace or how far...but thats what price aciton and PPZ's are for!
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I think Dan has a point. Most people would be better off without it, since they dont even know what it is, what it means or how to use it. Look at the number of people using an RSI(6) because they saw Ryan do it, and then 'spotting divergence' between bars 66 periods apart.
The less information for newbies to misinterpret, the better
I guess my point is that it is alot like PA. By itself, a pinbar is a terrible trade. We have all seen dozens of people 'pattern spotting' - hell, I suspect we all did it at first, because we focused on the pattern, not what was behind it. But combine it with the big picture (PPZs, trend, prior bars, the entry bar, the rest of the chart, etc) and think about what it means, and well... you end up owning half of Texas (or NYC)
When you have to shoot, shoot. Dont talk.
