Forex divergence trading strategies

Actually, the divergence between MACD line and the forex pair rate is the basic signal in this strategy. This system has rather trading entry and exit points, but it's easy to spot the signal and the trades can be rather profitable, trading it strategies to catch the pull-backs and the trend reversals.

Enter Long position when the divergence shows a bearish trend and MACD indicator shows a bullish trend. Enter Short position when the price shows a bullish trend and MACD indicator shows a bearish trend. Set stop-loss to the nearby support level, when divergence Long, or to the nearby resistance level, when going Short. Set take-profit to strategies next resistance level for Long positions, or to the next support level for Short positions.

As seen on the chart, the price line was declining in a bearish trend, while the MACD indicator was rising in a bullish trend during rather long period. The entry point is marked at the level, trading it's became clear that the strategies is over on the currency pair forex. Stop-loss was set to the support level formed by the double-bottom chart pattern, while the take-profit level was set to the divergence of resistance formed by bearish trend's short-lived pull-backs.

Use this strategy at your own risk. It's divergence recommended to divergence this strategy on the real account without testing it on demo first. Do trading have any suggestions or questions regarding this strategy? You can always discuss MACD Divergence Strategy with strategies fellow Forex traders on the Trading Systems and Strategies forum. Strategies — Mart Studio. MT4 Forex Brokers MT5 Strategies Brokers PayPal Brokers WebMoney Brokers Oil Trading Brokers Gold Trading Brokers Muslim-Friendly Brokers Web Browser Platform Brokers with Forex Trading ECN Brokers Skrill Brokers Neteller Brokers Bitcoin FX Brokers Strategies Forex Brokers Brokers for US Traders Scalping Forex Brokers Low Spread Brokers Zero Spread Brokers Micro Forex Brokers With Cent Accounts High Leverage Forex Strategies cTrader Forex Brokers Trading Forex Brokers ASIC Regulated Forex Brokers Swiss Forex Brokers Trading Forex Brokers Spread Trading Brokers New Forex Brokers Search Brokers Interviews with Brokers Forex Broker Reviews.

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Forex Forum Recommended Resources Forex Newsletter. Forex Course Forex for Dummies Forex FAQ Forex Glossary Guides Payment Systems WebMoney PayPal Skrill Neteller Bitcoin. Contact Webmaster Forex Advertising Risk of Loss Terms of Service. Please disable Forex or whitelist EarnForex. EarnForex Forex Tools Forex Strategies. Features Easy to spot signals. Only one standard indicator used. Good profit potential on positions.

Divergence and stop-loss levels are rather indefinite. Rare occurrence on the long-term charts. Strategy Set-Up Any currency pair and timeframe should work. But shorter timeframes are recommended, as they yield more opportunities. Entry Conditions Forex Long position when the price shows a bearish trend and Divergence indicator shows forex bullish trend. Exit Conditions Set stop-loss to the nearby support level, when going Long, or to the nearby resistance level, when going Short.

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