📊 DIVERGENCE EXPLAINED | SMART TRADING EDUCATION
Divergence happens when price and RSI move in opposite directions.
It shows that momentum is weakening and a trend reversal may be near.
🔻 Bearish Divergence Setup • Price makes a Higher High
• RSI makes a Lower High
• Buyers lose strength
• Sellers may enter
📌 What This Means: When price is rising but RSI is falling, the trend is getting weak. This often leads to a pullback or reversal.
✅ Trading Tips: • Always confirm with support & resistance
• Use proper stop loss
• Manage risk
• Don’t trade divergence alone
🧠 Remember: Divergence is a warning, not an instant signal.
Wait for confirmation before entering.
📈 Stay disciplined. Stay profitable.
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