Divergence MACD Classic Bullish and Bearish Setups

MACD Classic divergence setup is used as a possible sign for a bitcoin trend reversal. Classic divergence is used when looking for an area where bitcoin price could reverse and begin going in opposite direction. For this reason classic divergence is used as a low risk entry strategy & also as an accurate way of exit out of a trade transaction.

1. It is a low risk strategy to sell near the btcusd market tops or buy near the btcusd market bottoms, this makes the risk to your trade transactions are very small relative to the potential reward.

2. It is used to predict the optimum point at which to exit a Bitcoin trade.

There are two types:

Bitcoin Classic Bullish Divergence Setup
Bitcoin Classic Bearish Divergence Setup

BTCUSD Classic Bullish Divergence Setup

Classic bullish divergence occurs when bitcoin price is making lower lows (LL), but the divergence macd technical indicator is making higher lows (HL).

MACD BTCUSD Trading Classic Bullish Divergence - Bitcoin MACD Bitcoin Trade Divergence Explained

Divergence MACD Classic Bullish

Classic bullish divergence setup warns of a possible change in bitcoin trend from downward to upwards. This is because even though the bitcoin market price went lower the volume of the sellers who pushed bitcoin price lower was less as illustrated by MACD. This is an indicator of the under-lying weakness of the downward trend.

Classic bearish Bitcoin Trade Divergence Setup

Classic bearish divergence occurs when bitcoin price is making a higher high (HH), but the divergence macd technical indicator is lower high (LH).

MACD Classic bearish divergence - MACD Bitcoin Divergence Tutorial

Divergence MACD Classic Bearish

Classic bearish divergence setup warns of a possible change in the bitcoin trend from upward to downwards. This is because even though the bitcoin market price went higher the volume of the buyers who pushed bitcoin price higher was less as illustrated by the Divergence MACD indicator. This is a technical indicator of the underlying weakness of the upwards trend.

Divergence MACD Hidden Bullish and Bearish Setups

MACD Hidden divergence is used as a possible sign for a bitcoin trend continuation.

This divergence trade setup occurs when bitcoin price retraces to retest a previous high or low.

1. BTCUSD Crypto Currency Hidden Bullish Divergence

2. Bitcoin Hidden Bearish Divergence Setup

BTCUSD Hidden Bullish Divergence

Forms when bitcoin price is making a higher low ( HL ), but the MACD oscillator is showing a lower low (LL).

Hidden bullish divergence occurs when there's a retracement in an upward trend.

MACD Bitcoin Hidden Bullish Divergence

Divergence MACD bullish

This divergence confirms that a retracement move is complete. This divergence demonstrates under-lying strength of an upwards trend.

Bitcoin Hidden Bearish Divergence Setup

Forms when btcusd crypto currency price is making a lower high (LH), but MACD oscillator trading is showing a higher high (HH).

Hidden bearish divergence occurs when there is a retracement in an upwards trend.

MACD Bitcoin Hidden Bearish Divergence - MACD Bitcoin Trade Divergence Bitcoin Methods

divergence MACD bearish

This divergence trade set-up confirms that a retracement move is complete. This diverging indicates the under-lying momentum of a downwards trend.

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