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Re: kenwong post# 4008

Wednesday, 05/10/2006 12:39:26 PM

Wednesday, May 10, 2006 12:39:26 PM

Post# of 17624
Strange use of terminilogy

" This would be "negative divergence" (i.e. no divergence aka agreement). One would not take the trade if "positive divergence" is the case (i.e. divergence aka disagreement)."

Negative divergence doesn not mean that there is no divergence. It means that there is negative divergence between the price and the indicator e.g. the price made a new high but the indicator did not.

Positive divergence is when the price makes a new low but the indicator does not.
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