http://afraidtotrade.disqus.com/Helping traders overcome fears and emotions in tradingenSun, 27 Jan 2008 12:54:26 -0000http://blog.afraidtotrade.com/aiv-%e2%80%93-an-example-of-an-explosive-divergence-resolution/#comment-8971628<p>Anikurn,</p><p>I do use divergences as trade setups, but mostly I use them for daily chart analysis.</p><p>To me, divergences indicate a loss of momentum on the side of one market force, or a pick-up (increase) on the other side. Either way, I know that the most recent swing was weaker than the previous swing, and I can at least get a small target by fading the recent weaker swing back to my target of the 20 period MA.</p><p>Lengthy (multiple swing) divergences often precede a trend reversal, but not with enough probability to enter a reversal style "large target" trade until the actual reversal is complete.</p>Corey RosenbloomSun, 27 Jan 2008 12:54:26 -0000http://blog.afraidtotrade.com/aiv-%e2%80%93-an-example-of-an-explosive-divergence-resolution/#comment-8971627<p>very interesting post Corey... do you use these divergences in your normal swing trading arsenal?</p>ainkurnSat, 26 Jan 2008 18:47:44 -0000http://blog.afraidtotrade.com/aiv-%e2%80%93-an-example-of-an-explosive-divergence-resolution/#comment-8971626<p>I found your site on google blog search and read a few of your other posts. Keep up the good work. Just added your RSS feed to my feed reader. Look forward to reading more from you.</p><p>- Sue.</p>Sue MasseySat, 26 Jan 2008 15:39:15 -0000