You okay let's take another look here we've got a nice example right here so if I just take a look at these points right here if you'll take a look at this level here and this level right here we'll.
Take a look at this level here and this level here here you can see that we've got higher highs but on the histogram on the MACD we've got lower lows it's not following the trend at this point so all.
We look to do here is if we get our trend line and we draw this particular trend line right here we can see that this line is moving down and therefore we are looking at bearish divergence okay once again you have looked at these areas here we're making lower lows here.
But in this area we're making higher highs it's opposite to the trend then the histogram is showing in opposition or opposite to the actual trend and therefore what we are seeing is we are seeing divergence now remember some traders get a little bit confused.
It's the histogram line you're looking at this line here it's coming down therefore this is bearish divergence and what we can expect if we look at the trend line right here if it's bearish divergence we can expect a turn from bullish just let me take that off sorry.
From bullish this is bullish to bearish so we're seeing a bearish divergence wherein the bullish move we can expect if it's bearish divergence we can expect the move to go from bullish to bearish okay so that's your divergence this one because it's coming down and it's.
Opposite to what you've seen on the actual chart we're looking at bearish divergence now just remember generally it does follow so what you're looking for is you're looking for anomalies in the market okay you're looking for a loss of momentum.
Where we can expect some sort of reversal in the market you can see here that generally we're making higher highs were making higher highs it's following the market but when it go opposite direction that's when we can look for divergence okay so there you go remember what you can do
And you can print off the the actual file you'll see it in the same the same area have you seen this link for this trading print it off and place it upon your chart and that will help you identify your divergence okay we are we can look at hidden divergence as well we've got regular divergence and hidden divergence.
Again I don't want to go into it too much you will be able to see that an identified on the chart that you can print off but it can be quite a powerful indicator or a powerful indication sorry as to a potential trend reversal so that's divergence thank you very much.