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How can RSI divergence help predict market trends?
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RSI divergence is like finding hidden clues in the market!
When you spot divergence between the RSI and price movements, such as the price making higher highs while the RSI shows lower highs, it can hint at a potential trend reversal.
This mismatch often precedes shifts in market direction, giving traders a heads-up to prepare for possible changes in the trend.
By keeping an eye on these signals, you can better predict market trends and make informed trading decisions!