Hello, MACD divergence is divided into bottom divergence and top divergence. There are roughly three types:

1. When the stock price rises, the area of ??the MACD red column is smaller than that of the previous wave of rise. The area of ??the red cylinder, the corresponding increase is also smaller than the previous one, which is a top divergence and a sell signal; during the decline of the stock price, the area of ??the green cylinder of MACD is smaller than the area of ??the green cylinder when the previous wave fell, and the corresponding decline is also Smaller than the previous time, it is a bottom divergence and a buy signal. It is common in short-term analysis periods, such as 5 minutes, 30 minutes, etc., and is mostly used for short-term trading.

2. The stock price hits new highs, but the red pillars keep getting shorter, which is a top divergence; the stock price hits new lows, but the green pillars keep getting shorter, which is a bottom divergence. This kind of divergence indicates that the trend is about to change, but the final formation of the trend change needs to be confirmed by the golden cross or dead cross of MACD and the moving average.

3. When the stock price reaches a new high, but MACD does not reach a new high, it is a top divergence; when the stock price reaches a new low, but MACD does not reach a new low, it is a bottom divergence. After the divergence occurs, the shortening of the red and green columns and the U-turn of the 5-day moving average and the white line are the turning points. The final formation of the divergence is confirmed by the dead cross of the moving average and the dead cross of MACD. The greater the level at which this divergence occurs (such as daily line, weekly line, etc.), the higher the success rate.

In addition, the buying and selling corresponding to this kind of divergence are not equivalent, and the strategies need to be different. When it reaches the top, perhaps a top divergence at a high level will cause the stock price to flee in all directions and the stock price will plummet. However, when it reaches the bottom, it often takes several bottom divergences to stop the decline.

One thing to note is that in the actual market, MACD changes have such a pattern; when the price falls, the MACD green column gradually enlarges. When the green column reaches its highest point (the longest green column), The price also corresponds to a swing low.

Several forms of MACD divergence:

1. Shrinking divergence

While there is a divergence at the top of the bulls, the K line gradually trends. Small, the kinetic energy gradually weakens. Go short. This form is mostly an ending wedge. In turn, a shrinkage phenomenon occurs at the bottom of the short position. Going long has a higher success rate than directly copying tops and bottoms. Moreover, in this case, The backside is usually shown by the results of a huge release, and it is easy to get good market prices.

2. Mountain separation

As shown in the picture, we call the top in the middle a "mountain", and the two high points on the left and right are separated by a mountain. The premise is that the top on the left The mountainside should be at the same level as the mountainside on the right. The corresponding MACD red column appears on the left and the MACD green column appears on the right, which is called mountain divergence.

3. Double peak divergence

The big cycle has a top divergence + the small cycle at the end has a top divergence again, which doubles the top short selling! There are not many double-peak divergences in one cycle. If you are already very skilled, you should be flexible and wait for the second divergence in the small matching cycle, which will make trading more pleasurable.

4. Single Yang Divergence

Use a Yang line to judge the divergence. First of all, what we see is a Yang line under the daily K line. It should correspond to the red line bar, but under certain special circumstances, it A green line column appears, so a single positive divergence will also occur. The use of single-yang divergence requires certain conditions, as shown in the figure:

In actual combat, the MACD indicator not only has the ability to buy the bottom (the divergence is the bottom), but also captures the extremely strong rising point (MACD) for two consecutive times. Red buy, the function of capturing the end point of the wash (up and down divergence buy). At the same time, it also allows you to capture the best selling points, help you successfully escape from the top, and enable you to enjoy the feeling after the harvest.

Risk disclosure: This information does not constitute any investment advice. Investors should not use such information to replace their independent judgment or make decisions solely based on such information. It does not constitute any buying or selling operation and does not guarantee any returns. If you operate by yourself, please pay attention to position control and risk control.