Momentum
Divergence Trading
Spot weakening momentum before price turns using oscillator divergences.
What is divergence?
Divergence occurs when price makes a new high or low but a momentum oscillator like RSI or MACD does not — a warning that the move is losing steam.
Regular vs hidden
Regular divergence signals potential reversals, while hidden divergence points to trend continuation.
Confirmation matters
Divergence is a heads-up, not a trigger. Combine it with structure and a clear entry to avoid catching falling knives.
Build a divergence scanner
Describe the divergence rules you trade and CGMO.AI writes a Pine Script indicator that detects them in real time.
Turn this into an indicator
Describe the setup in plain English and CGMO.AI writes a TradingView indicator that detects it for you.