In this weekly review, the presenter walks through a series of recent trade setups across several currency pairs (AUD/JPY, AUD/CHF, EUR/CHF, GBP/CAD, EUR/CAD) and a commodity (Oil). For each instrument, he demonstrates how hidden divergences, multi‑timeframe confirmation (1‑hour, 4‑hour, daily), and specific candle patterns (false breaks, swing highs/lows) guide entry, stop‑loss placement, and target selection. He emphasizes the importance of risk‑reward ratios, often targeting levels just beyond previous swing points, and explains trade‑management adjustments when price action deviates (e.g., stop‑loss hits, spikes). The review concludes with a call to join a Telegram community for further educational material.
Chapters
Hello and welcome to the Divergence University review, the weekly review from previous week, guys. You know, we saw some amazing volatility and I believe this is about to continue. Aussie yen, the first one, absolutely amazing Aussie yen and Aussie franc were perfect setups, more or less. But let's first of all start with this one. So on the 1-hour chart, we have this amazing push to the downside, and this is where the price started moving in this pattern. The momentum was lost, which basically told us price action plus indicators, we should be expecting the price to continue lower. And this is exactly where our entry, uh, got in play. So right here we got the candle pattern— not sure if it's visible enough— okay, protecting right here this zone. And attack, right? So pretty much it quickly went below it. This is where we also got the trendline breakout, which basically meant this trade could have been taken as a swing trade. And of course you can be cashing out target 1, but the bottom is very likely to be reached as well, which means fantastic risk-reward ratio. And this is how the divergences They usually provide us with the best risk-reward ratios. What I wanted to show you here on the live chart is the four-hour chart. All right, and on the four-hour chart, it's pretty clean and pretty obvious what's going on. Even if we go to the daily chart, first of all, we can see that this entire zone is perfect, perfect resistance. We broke below it. This is supposed to be a pullback, and this is where we attack it on the one-hour chart in combination with the four-hour chart plus this hidden divergence, whether it's from here or here. And you can see how beautifully it dropped. Okay, so that was the first one. Then we move on to Europe Kiwi. Which was a buy trade. Extremely powerful bullish move in this case. Okay, this is where we get the ABC pattern. This ABC pattern could be broken down into another. So this is our second leg, and this is the second wave, which also provided here, um, the divergence. And this is where we are attacking actually. So false break number one. False break number two. Candle patterns are appearing. Beautiful bullish candle pattern attacking, and the one to risk reward ratio in this case is below the previous swing high, which means it's it's great, right? Because if in case let's say the entry was somewhere around here, and that's our stop loss. If we count 1 to 2, it will be somewhere above it, right? Something like that. And usually when we cross that previous high inside the trend, this is where we're going to get some resistance. And that's why it's recommended around this previous swing, in this case because it's bullish, To manage the trade. In our case, final target is at the top, which means it's perfectly fine. We can be attacking it, and this is how it ended, right? This is where we got the target reached. But I wanted to show you the daily chart, and here we have again a pretty sweet setup. Now when we go to daily. We can be looking at the levels. And the first thing we're going to notice is that previous zone right here was broken. After it was broken, daily chart shows absolutely no signs of reversing and continuing lower, which means we're likely going to continue higher. Um, we can also notice that the price is holding Above this zone, so we're likely experiencing here a breakout. If we drop to the four-hour chart, we can see again the hidden divergence which started developing, and this is the ABCD pattern which we spoke about. So right here, we drop to the one-hour chart. This is the last false break as we mentioned, along with the hidden divergence which formed. Something like this, right around this zone. And we know that the expectation is to go higher. So another more or less by-the-book multi-timeframe confirmation, and we got the targets. Oil was losing one, and here the idea comes from the fact that That yes, we did get the push lower, but this is also the place where the price started forming a move, an impulse move to the upside. So the expectation from our side was to get something like this, and what we try to do is trade— sorry, so this is If this is ABC, right? We have A, B, C leg and then continuation lower. We try to to trade leg BC in this case. So again, impulse to the upside. This is where the price started developing some sort of contraction. This is where we get the false break from the bottom, and once we get the candle pattern, this is where the attack appeared. In that case, you will also notice that the target is below the previous swing. So basically we have move. Now we're looking at this thing as micro bullish trend, which after this pullback is supposed to give us one more push higher. However, we want to respect this previous high, and if the price pushes higher We need to be managing the trade around that zone. Okay, unfortunately, as we can see, it pushed lower, kicking this trade in stop. Okay, then we have Aussie franc. Okay, pretty similar setup to the Aussie yen. Again, analysis go pretty much the same. Fantastic drop to the downside. No impulse in this case. The price again started forming some sort of contracting pattern. This is where the divergence false break one, false break two appearing attack. And here the stop loss is again above the previous swing high, which is good. We can expect it to go ahead and reach that level with ease and. As you can see, this is the perfect example of what we're looking for. Once you get the entries, right, with the stops, you're just looking for immediate push lower. Now in this case, it tried to push once again higher, so it's good it didn't manage to kick out the stop losses. But this is where the 2 false breaks come in play, right? Because usually when the trend is about to reverse, because in this case we have again, this is a micro trend. This pullback on the higher time frames is in fact a mini trend on the lower time frames. So if we drop to M15, this is kind of a bullish trend, short-term bullish trend to the upside, right? And what we're looking for is to catch the end of this trend and continue trading. In that direction to the downside. So having 2 false breaks appearing inside a given trend usually means the trend is slowing down and we're about to see either pullbacks or reversals. So when we put all that together, it starts to make a lot of sense. And as we said, this is where the attack is coming into play. Let's cover pound CAD as well. In pound CAD, we did get here push down, breaking all these zones. This is also where we got some kind of, uh, triple move to the downside. 3 legs, right? 3 waves. ABC correction divergence. That zone comes in play, and this is where we are attacking. Very, very simple. Unfortunately, it pushed lower. I just clean it up. It pushed lower, but then immediately, well, it kicked the trade right for a stop loss. Now let's cover one more, guys. Final one, and then the rest you can check yourself. Euro/CAD, looking for the sales here. This is the 1-hour chart, and you can see basically where the bearish pressure started from. So fantastic move up, okay, but this is where we had divergence number 1 with false break. Whether it's here or here, it's pretty much the same thing. So false break number 1 appeared, then we have another divergence second one right here. And as the price closed below this level, okay, we're looking at a second false break plus hesitation zone on the top right here with these few candles plus this spike, which basically tells us second divergence is happening, second false break is happening, and We have a nice spike, which means big guys were looking for some level to be tested, and very likely we did test it now. And now it's time for pullbacks. I'm not saying we're going to reverse, but at least a pullback should be due. And that's the assumption here which managed to provide, um, this profit. The only thing that was riskier in this case is that we have the spike, the previous low, swing low right here, and the target is slightly below it, right? Because in such cases we might get here and reverse. So if you're not around the PC, I think, um, you should just give away slightly from your risk-to-reward ratio and put the stop loss right here. Okay, it will be still more than 1:1, right? But you will not be risking, if you're not around the PC or if you're sleeping or something, um, to miss this opportunity in case you were right. Another option and possibility in such cases when you're measuring the targets versus the stops is to wait for a few pips pullback. So let's say you notice that your target should be slightly below the given level, in that case this spike, the low, and there's just a few pips here. Okay, so place your order slightly above, and usually you can see what happens here, right, with this spike. These few pips will be generated for you. And after all, even if it's not, even if it's not, so what? Okay, we miss the trade, next opportunity comes, and we go ahead and attack. There is always a next opportunity, guys. All right, so that would be all for that previous week. If you have any questions, please let us know in the Telegram group or leave your comment below in the comment section. Don't forget to join our free Telegram channel, guys. Plenty of educational materials and trade setups are shared there. And actually, that's all, right? Wishing you a fantastic, lovely week ahead.
