Regular Divergence
Learn what regular bullish and bearish divergences are, how to spot them on your charts, and how traders use them to identify potential trend reversals in forex.
Learn what regular bullish and bearish divergences are, how to spot them on your charts, and how traders use them to identify potential trend reversals in forex.
Learn what hidden bullish and bearish divergences are, how they differ from regular divergences, and how traders use them to spot trend continuation signals in forex.
Quick-reference cheat sheet for all four types of divergences in forex: regular bullish, regular bearish, hidden bullish, and hidden bearish, with descriptions, chart examples, and memory tricks.
Learn how commodity prices influence specific currencies, which commodities matter most for AUD, CAD, NZD, and NOK, and when those relationships break down.
Learn what the CVIX measures, how to read its levels, and why a dedicated currency volatility index gives forex traders something the VIX and MOVE Index can't: a direct read on fear inside the FX market itself.
Learn what monetary policy is, the full toolkit central banks use beyond just interest rates, how policy changes transmit through the economy, and why monetary policy divergence between two countries is one of the most powerful setups in FX trading.
Test your knowledge of divergence trading. Covering regular and hidden divergences, trading rules, entry timing, and common mistakes.
Learn what divergence trading is and how comparing price action with indicators like RSI and MACD can help you spot potential reversals and trend continuations.
Learn three practical techniques to avoid entering divergence trades too early, including waiting for indicator crossovers, overbought/oversold exits, and drawing trend lines on your oscillator.
Learn how beta currencies move with global risk sentiment, why they crash hard during market panics, and how to use pairs like AUD/JPY and NZD/JPY as real-time gauges of market mood.
Official GDP data tells you where the economy was. Nowcasting tools tell you where it is right now. Learn how GDPNow, the NY Fed Nowcast, and the St. Louis Fed Nowcast work, how to read them, and how traders use them to get ahead of the official numbers.
Before you can interpret any economic data, central bank decision, or news event, you need to know where the economy actually is. The economic cycle is the map that makes everything else make sense.
Learn how to set up COT indicators on TradingView, how to spot divergences between Commercial and Non-Commercial positioning, and how open interest adds a layer of context that most traders completely miss.
Discover what separates powerful narratives from weak ones, how to distinguish narratives from sentiment and themes, and the forces that amplify their influence on FX prices.
Learn what a central bank balance sheet is, how it creates or destroys liquidity, where to find the data for free, and how to use it to make informed trading decisions.
See real chart examples of how to trade regular and hidden divergences in forex, including entry thinking, confirmation signals, and what to watch for before placing a trade.
No carry trade setup lasts forever. Learn how funding and target currency roles shift over time, what forces drive those changes, how to stay current as central banks move through their cycles, and what the carry trade looks like from here.
Learn why divergences should never be used as standalone trade signals, how to combine them with confirmation tools, and how to selectively choose the setups worth trading.
Learn the key relationships between currencies, commodities, bonds, and equities covered in this series, in one scannable reference page.
Before you start looking for potential divergences when trading forex, here are nine cool rules for trading divergences.
The trend is your friend until the end when it bends. Ed Seykota