What is divergence?Divergence
Price makes a new high or low but the indicator doesn't, hinting the trend may be weakening.
Animation · divergence
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- Oscillators & MomentumDivergence
Price makes a new high but the indicator doesn't. Divergence is often an early warning that a trend is tiring, but it needs price to confirm.
- Volume & Volatility IndicatorsOn-Balance Volume (OBV)
Add the volume on up days and subtract it on down days: the running OBV roughly shows whether money is flowing in or out.
Related terms
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