Divergence University Weekly Review - November 11th 2019

In this weekly review, Jordan walks viewers through the forex trades he executed the previous week, covering AUD/CHF, NZD/USD, EUR/NZD, EUR/USD and NZD/USD. He demonstrates a multi‑timeframe approach, starting with daily chart structures and drilling down to 1‑hour entries. The analysis highlights technical concepts such as MACD‑based divergence (both hidden and regular), false breaks, double‑top formations, head‑and‑shoulders patterns, ABCD and 50% retracement expectations, and the use of buffer zones for optimal risk‑reward. For each pair, Jordan explains why the trade was taken, how targets and stops were set, and the outcome (including two losing trades). He concludes with practical lessons on stop placement, protecting profits, and the importance of reviewing both winning and losing trades. The tone is instructional and conversational, with a measured yet enthusiastic attitude toward the trading methodology.
Chapters
Hello guys, how you doing? This is Jordan and it's time for us to go ahead and check out what happened during the previous week. So starting first of all with the Aussie franc. Aussie franc was a really interesting situation and It did pay, as you can see, but it's more important for us to see why this trade was taken. So before we actually check out this chart, let's go back to Aussie franc, guys. And here we can see that the analysis starts on the daily chart, even though our entry was on the 1-hour chart. What do we have on daily chart? Double wave up. Going to 61.8. This is where bearish pressure formed on the MACD indicator. That means once we have reached that level here with bearish pressure on the way, there is a very good chance we're going to see at least, at least some sort of pullback, correction, reaction to this level, to that zone. All right, and this is where the idea starts to form. So going back to the chart, what else can we see? We can see that there was on the way up a cycle that developed, or waves that developed. You can have alternative counts here, but the important part is we did reach the level first of all, and you can see what the price did. The The price stopped right here, first of all, tried to create one push lower, breaking below, false break on the top, and that false break came with divergence. Then afterwards, what followed was another attempt to start making lower lows. So this is the first attempt, collecting stops. Second attempt, and the price is pushing once again upwards. And now what we can see here is, first of all, hidden divergence which formed on the first wave, and on the second wave, double top with this kind of divergence here, right? Bearish pressure. This is where candle pattern formed. And protecting, of course, the double top, but few pips higher, collecting, trying not not collecting. Sorry, trying to protect basically this zone because this is the first level, and the spikes here, as you can see, are the second level. That zone is extreme. So what we're trying to do is just save a few pips on the top in order for our risk reward ratio to make sense and not to fall. Below the previous level, okay, for the final target. And since we have that level here which forms a good resistance for us on that part, so basically we take the bottom level with the top level, 1, 2, 3, 4 times checked with one extreme in the middle, okay. This is where we want to start attacking. That also could be seen from some people as head and shoulders at the end of bullish trend. So that could be looked at as another confirmation. And this is again where we started the attack. Immediate push lower, collected the target. And again, I want you to pay close attention to the target level. So this is the bottom line of that zone, and this is where the zone starts. So basically that entire thing here, calling it the buffer, buffer zone, or whatever you want to call it, is very strong support. The idea is to collect the targets wherever this zone starts. You don't want to be collecting targets here or here. Why? Because many times the price will just come to this place and react immediately to the upside, and you might end up with breakeven But why not collect some money if you are right and you caught this move down? Okay, so I think this is, um, the most valuable lesson on this specific trade. Kiwi dollar is another interesting opportunity. Now this one, at least in my opinion, was extremely good and simple idea. Again, I'll just go back to the live chart for a second. On the four-hour chart, guys, look what we have. Wow, that became very thick. But basically, we have structure up in five waves. This structure up came closer to that zone first time, second time false break. Divergence formed. So now what we can expect is for the price to go approximately towards the 50% of this entire move. So that divergence makes a lot of sense to push the price lower. Dropping down to the 1-hour chart, we see something extremely, extremely good. Ignore the indicators for a second. Look what we have. This is the previous level swing, and that's the swing from the first high we showed. We started creating multiple false breaks here. That's the first clue. Then after all these, uh, hesitations here on the, on the price, immediate straight push lower. Straight push lower, guys. Look at this momentum. Amazing. And then only based on price action we can see what's happening. Push, hesitation, okay, small break, gaining more sellers, and then it makes sense to continue lower. Then the confirmation from the divergence comes in play. This is our hidden divergence right there, okay? And that of course comes to these very nice levels that we have previously. If we extend it, you'll see that we are checking exactly those levels. This is also the first low that was broken if we consider this, uh, foul here as a low. So that's basically about, uh, the Kiwi trade. Pushed lower almost immediately, okay? And here the stop versus the target was not ideal even though we are protecting aggressively above this high, not here The stop still came a few pips lower, but as we are expecting overall based on the big trend to see ABCD versus the 50% of the entire move, as I said, giving it a few pips below the actual swing is not that scary. So that's why it made sense for the attack here to happen. Next one is Euro Kiwi. Now Euro Kiwi we've been talking about for a long time, and here it's actually pretty simple. Because we were waiting for 2 waves up to sell, and those 2 waves up came. Okay, this first attempt here did fail if you did trade it and catch it, uh, but then on the new week we got again another push up after this double top. New bearish pressure, guys. The price is simply refusing to continue higher. It's not gaining the momentum. So what do we do? We make another attempt. It's once again false breaking this zone. We have plenty of room to the downside if we turn out to be correct. Okay, and then based on the newly formed highs and lows Okay, we can see what's happening. Then we got another push-up, and then we could have easily start looking for this thing as a range to sell the top once again. So EUR/USD, really nice opportunity. I hope you guys managed to catch this one because when it comes to ranges and flags and channels It's absolutely amazing how much money we can make. The risk-reward ratio there is fantastic. Then we have the 2 losing trades, which are the EUR/USD and the NZD/USD on the top once again. For EUR/USD, what we had here was kind of a triple— not triple, special cycle or 5-leg move. First time false break, second time false break, divergences on the way, bullish candle pattern, and we're looking for the buys. As simple as that. And then as we can see, immediate push lower which caused here the stop. Um, Kiwi dollar, second trade here. So after the push lower, as we said, we're expecting to see the 50%. And then, because we had structure up, we are expecting after ABCD to see bullish continuations. So first of all, on that part, we broke the divergence. Not sure if you can see it, but it happened right there. Divergence here, yes. Divergence here, no. That meant possibly one more push lower, and we did get the push lower. And we more or less tested that previous swing. This is where we got second divergence and another false break consecutive after the previous false breaks. That's why attacking here for the buys, expecting continuation higher, which unfortunately also turned out to be a bad decision and the price pushed lower immediately. So that's about, um, our trades. I really hope you enjoyed this video, guys. If you have any questions or comments on the trades or the way we are trading, please leave your comments and ideas below in the comment section. And that would be all. Thank you for watching.
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