Momentum, Direction, and Divergence William Blau, Blau
Publisher: Wiley

Mar 22, 2013 - Developed by Gerald Appel in the late seventies, the Moving Average Convergence-Divergence (MACD) indicator is one of the simplest and most effective momentum indicators available. The article presents the indicators, described in the book by William Blau "Momentum, Direction, and Divergence". The corrective phase of the market is over. May 7, 2012 - trading-with-divergence To trade forex successfully, traders should learn forex divergence to perceive price reversal and seize trading chances. Mar 4, 2014 - When analyzing a chart, remember that the price can increase while momentum drops. Divergence is when the price is moving in one direction, but an indicator is moving in the opposite direction. The neutral readings seen in my intermediate-term indicators do not shed any clue on the market's direction, with price serving as the best key. While I am seeing divergences in momentum and 52-week highs, the markets long-term trend and momentum remain in bullish territory and the bulls should continue to be given the benefit of doubt. Basically, it occurs when momentum moves in the opposite direction of a price trend. Positive MACD indicates that the 12-day EMA is above the 26-day EMA. If those two diverge, watch out! CLICK HERE to subscribe to the free weekly Best of Financial Sense Newsletter . The MACD turns two trend-following indicators, moving averages, into a momentum oscillator by subtracting the The direction, of course, depends on the direction of the moving average cross. February This technical indicator works very similarly to the MACD to show you a stock's direction and momentum. Feb 26, 2014 - Determining the Market's Direction with the DecisionPoint Chart Gallery.