@animalwhispererx
RSI and MACD divergences often precede price reversals. When prices make new highs while indicators lag, momentum weakens, signaling potential corrections. Traders monitor these divergences alongside volume and support levels to confirm reversal risk. Divergence alone isn’t decisive, but combined with market context, it provides actionable insight for positioning, stop-loss placement, and potential profit-taking opportunities in both bullish and bearish phases.
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