• Registered: 2011-09-15
  • Posts: 2

Topic: Divergence Strategy using two Fractals and Stochastics

Hi All,

Is it possible to generate a strategy of divergence using two fractals and a stochastic indicator?

Thanks,

Dan

  • footon
  • footon
  • ◄≡≡≡►
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  • Registered: 2009-08-17
  • Posts: 2,924

Re: Divergence Strategy using two Fractals and Stochastics

Hi Dan,

You have to elaborate on this. Please describe in detail what kind of strategy you want to build.

Thanks!

  • Registered: 2011-09-15
  • Posts: 2

Re: Divergence Strategy using two Fractals and Stochastics

Hi footon,

The strategy that I'm talking about is a simple divergence between price action and the stochastic indicator.
Its a strong reversal pattern.

The strategy looks for a high and a higher high on the price action. (This is for short)
And, a high and a lower high on the stochastic indicator.

My question, is it possible to use two fractals to identify high and higher high on the price action.
And, use the stochastic indicator as a filter to find high and lower high.

I hope this is more clear now.

Thanks,

Dan