Top divergence, this situation, we only feel it is particularly accurate when we review it afterwards.
But in reality, there are quite a few instances of top divergence appearing, and the price still breaks through to a new high in the end.
During the process of the price continuously breaking new highs, divergence actually always exists.
The reason we tend to overlook this ongoing divergence is that when we look back at the data, we often only focus on the highest points of historical stages. In fact, what we should pay more attention to is whether there were also top divergence situations when the price broke new highs in history.
Additionally, the divergence in RSI (Relative Strength Index) follows the same reasoning.
Many times, when RSI breaks a new high for the first time, it often is not the peak of that phase. Follow me to check the homepage for more insights and start your wealth journey!