3 Simple Step Divergence Forex Trading Strategy

Hello traders, how are you? Vladimir here from Traders Academy Club, and in this video I would like to show you a very straightforward, clear forex trading strategy, one of the strategies I use in Traders Academy Club. So I would like to show you The three steps for a hidden divergence trading. Okay, so let's begin. But before that, if you are new to our channel, first of all, welcome to our fantastic community. I would like to invite you to subscribe to the channel and to enjoy from all the educational content and the trading ideas we have in the channel for you. Please click the subscribe button below this video, and please remember to enable the notification so you know when a new video is available for you. And also join us in Traders Academy Club. The link to join our club to enjoy our live trading sessions, real-time live education, uh, you— the link is below in the description or in the pinned comment in the comment section. And before I dig deeper in the chart, I would like to ask your support and your help. YouTube algorithm needs this little thing, this little feature. So if you find this video helpful interesting, educational, please hit the like button, drop some feedback below in the comment section, and feel free to share this video with anyone who you think can have an advantage watching this video. And also, if you have any specific requests or suggestions for my future videos, please let me know about that in the comment section. What would you like me to cover in my future videos? And if this is a subject I can't cover, I would definitely add it to my list. And now let's begin. So I want to present you one of the strategies and one of the techniques I use in Traders Academy Club, and that's one of the techniques I teach there. To do so, let's go to the members area of the academy, uh, and that's the members area as you can see. Let's go to the market report, the trading reports. From our live sessions, and here is the one that I want to talk about. This is the one Nasdaq. So long story short, in our multi-timeframe analysis, let me just open the charts. Okay. So this is our weekly. We spot a bearish divergence. We anticipate a correction. The daily chart also got us a bearish divergence switching to bearish convergence. Long story short, we are looking for sales and this is our trading plan. And now let's talk about the strategy that I want to present. So once we understand the multi— it always starts with multi-timeframe analysis and that's how I want you to treat it in your own trading. And I want you to remember, multi-timeframe analysis synchronized in the very same direction gives you much, much, much better and bigger chances to, uh, to be right in your chosen direction to trade. And the reason for that is different time frames represent different flow of money in the market. And if the different flow of money, different lengths of the money flow synchronized in the same direction, your chances are better. There is no guarantee that you are going to end up as a winner. No such thing guarantee in trading. And whoever claims that lies to you. Uh, but there is— it's a game of probabilities. It's a business of numbers, business of probabilities. So what you can do is increase your chances, uh, in trading. And the way you do that is you combine the multi-timeframe analysis into, uh, your arsenal. And when you have any specific instrument, uh, synchronized in the same direction on multi-timeframe analysis— I work with 3 timeframes— Um, personally, you have better chances, better odds to end up as a winner. So as I showed you before, a minute ago, we had a bearish divergence on the MACD, uh, on the weekly chart, bearish divergence on the daily with a convergence. Let's take a look here once again. It starts with the weekly classical bearish divergence, as you can see on the moving average of the MACD, on the histogram as well, and as well on the RSI. Okay, that's very powerful thing. It all bounced from an engulfing on the very top, really good sign at the daily chart. And this is the step 1, multi-timeframe analysis in the same direction. So in my case, bearish divergence on the weekly, bearish divergence on the daily. Step number 2, sign of reversal. What does that mean? Bullish trend— let's go simple, okay? I'm not going to dig into the very, very, very Deep details here, but just a simple logic: bullish trend, higher highs, higher lows. This trend potentially changes when when we don't have higher lows anymore. For the for the first time we have lower lows. That's the situation that happened here with comparison of this low L1 L2. Okay. Also, the indicator gave us indication. That this is some bearish momentum building up. This is step number two: spot the trend break. Okay, the switch on the trend. Step number three: on the lowest timeframes among the multi-timeframe ones that you work with, that you trade with, look for trending structure. As I said before, bullish trend higher highs, higher low. Bearish trend exactly the opposite. Lower highs, lower lows when they gain momentum. Now look here: tack, tack, tack, and tack. Three lower highs, lower lows. Boom! What does that mean? Bearish momentum. Do we lose momentum like every wave getting smaller and the angle gets slower? The answer is no. We gain. It gets faster and faster. That's a great sign. So. This is where in our live session we spot this opportunity. As you can see, this is directly from our trading report on Traders Academy Club. That's the moment to look for the correction. As you can see, we expect further move down after the correction, looking for setup. And the setups in the pullback, basically we work with 3 formats: ABCD and breakout— oops, sorry— uh, range And breakout or rally with a bearish hidden divergence. And that's exactly what we had in that case. So what do we have in that case? Bearish hidden divergence, lower highs on the chart, higher highs on the indicator. So despite of the volume of the, uh, buyers' control at this, uh, at this rally They still fail to change the trend. Okay. And from this moment, this is our number 3. Wait for the hidden divergence to tick. Once it ticks, and let's go to the chart. Once it ticks, you can see the MACD goes down. Okay. On the histogram in that case, of course. Oops. Once again, I clicked the wrong button. And this is our place to start looking for entries. Now, as per the entry, I want you always to remember there is a strategy or technique for analysis, and there is a strategy or technique for trading. Okay, entry and exits, they don't have nothing to do with your preparation. The analysis— first of all, you analyze, you validate, invalidate your plan, you prepare specific levels, specific zones, and then you are looking for entries. Entries, okay, entry techniques could vary. They could be based on indicator, they could be based on different trading systems, automated systems, and so on and so on, or manual strategies. And all these entries based on divergences, it's something you can learn in Traders Academy Club. Once again, I would like to invite you to join us in Traders Academy Club. The link is below in the description. So in my case, what do I love to do in this situation? On the lower time frame, I want to find— you can just throw here— verification that the bears are losing— the buyers, sorry— are losing momentum. And we have these divergence on the histogram here. And then basically I want to switch. I want to see the market gains momentum to the downside. We discussed about it in this video. What is a bearish momentum? Lower highs, lower lows. Once spotted, I know the bearish hidden divergence has very high chance to deliver me such a move. This is currently an ongoing trend. I have no idea how far that can go. Will that become a beast and pay me huge profits, or will I have to manage here? I have specific techniques to enter, as I just presented you one of them. All the rest, join us in Traders Academy Club, learn all our techniques we use in very specific situations on the market. And of course, the management. There is a strategy to enter a trade, but there are also strategies to exit the trade. And I want you to remember, you, before you enter a trade, you must have a very clear, specific plan how you behave at every single stage to enter and to exit. If you just enter randomly and you say to yourself, hey, let's see how it goes, or Vlad said it will go down, or someone else said it go down, You enter without a plan, you are dealing with dangerous trading. Trading without a plan, recipe for failure. Okay, it can work one time, it can work 2 times, but it's doomed to fail. Don't do that. Always have a clear plan, uh, what you want to see on the chart that brings you in a trade, what can happen on the chart to take you out of the trade. Do not let the market surprise you. Be prepared for every single possibility. And that's pretty much it. That's the strategy I wanted to share with you. Let me know what do you think about that. If you have any questions, feel free to ask in the comment section below. Feel free to share that video again with everybody you think can have advantage by watching that. And, um, I once again want to invite you, uh, to join us in Traders Academy Club. Learn all my techniques for analysis, learn all the strategies for manual trading, and I hope to see you with us. The link to join us is below in the description or in the pinned comment in the comment section. That's it for this video. Thank you very much for your time watching. Stay safe, be well, and I see you soon with more content and more educational videos. Ciao for now.