Can Someone Explain Bullish Divergence Like I’m 12?

In the subtle dance of markets, bullish divergence is like a whisper from the deeper current beneath the waves. While price action shows weakness, descending into new lows, momentum indicators the soul of the movement begin to resist, rising with quiet strength. This dissonance is not mere noise; it is the market hinting that its outward appearance no longer matches its inner resolve. Traders who listen closely are not merely seeking profit, but attuning themselves to a truth that lies beyond the visible, in the space between price and potential.
 
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Funny how we call it “bullish divergence” like it’s a cheat code, but half the time it’s just hopium wrapped in RSI lines. Sure, price down + RSI up can mean reversal, but context is everything. Without volume or trend confluence, it’s just TA cosplay. Use it, don’t worship it.
 
Bullish divergence was a game-changer for me when learning TA! It’s when price makes lower lows but an indicator like RSI makes higher lows — a sign that selling momentum is weakening. Think of it as a quiet whisper before a bounce. Pair it with volume and structure, and you’ve got alpha!
 
Bullish divergence is one of those hidden gems in TA that really helps spot trend reversals early. When price hits new lows but RSI or MACD shows higher lows, it signals buyers might be stepping in quietly. Combine it with support zones or volume spikes, and you’ve got a solid entry setup!
 
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