Reduce or dispose your position if a trend line you are watching is violated, especially with heavy volume. Don’t hope that the trend line break is a fake one.
Reduce or dispose your position if a trend line you are watching is violated, especially with heavy volume. Don’t hope that the trend line break is a fake one.- Never trade based on indicator divergence (with price) alone. Divergences can go on for a while, with price continuing to make higher highs and the indicator continuing to make lower highs (or price making lower lows with indicator making higher lows).