6# Pivot and RSI Divergence Trading System
Trading with Divergence
Submit by Forexstrategiesresources
Time Frame: 15min, 30min, H1.
1. Identify bearish divergence at the pivot point, either R1, R2 or R3 (most commonly at R1).
2. When price declines back below the reference point (it could be the pivot point R1, R2, R3), initiate a short position with a stop at the recent swing high.
3. Place a limit (take profit) order at the next level. If you sold at R2, your first target would be R1. In this case, former resistance becomes support and vice versa.
3. Place a limit (take profit) order at the next level (if you bought at S2, your first target would be S1 … former support becomes resistance and vice versa).
Share your opinion, can help everyone to understand the forex strategy.
RSI Forex Strategies
Pivot Points Forex Strategies