Just came across this really solid divergence cheat sheet that breaks down all four types of divergence patterns using price action against RSI, and honestly it's one of the clearest visual explanations I've seen. Let me walk you through what makes this so useful.



So there's basically two main categories here. First up is regular divergence, which signals a potential reversal might be coming. When you see regular bullish divergence, the price is making lower lows but your RSI is actually printing higher lows at the bottom. This mismatch is telling you that downside momentum is weakening, and a reversal to the upside could be on the cards after a sustained downtrend. On the flip side, regular bearish divergence shows higher highs in price while RSI is making lower highs at the top. That's your signal that upside momentum is fading, and you might see a reversal to the downside after an uptrend exhausts itself.

Then there's hidden divergence, which is different because it suggests the current trend will actually continue rather than reverse. Hidden bullish divergence happens when price makes higher lows but RSI makes lower lows. This pattern typically shows up after a pullback and tells you the uptrend has more room to run. Hidden bearish divergence is the opposite, where price makes lower highs while RSI makes higher highs. Again, after a pullback, this usually means the downtrend is going to keep pushing lower.

What I really like about having this divergence cheat sheet as a quick reference is that it cuts through the confusion. You've got your four scenarios clearly mapped out: regular bullish for upside reversals, regular bearish for downside reversals, hidden bullish for uptrend continuation, and hidden bearish for downtrend continuation. The key is matching the price pattern with what the RSI is actually doing. When they diverge, that's your edge. When they align, you're looking at trend confirmation instead.

If you trade with RSI or any momentum indicator, keeping this kind of divergence reference handy saves you from second-guessing yourself. It's the kind of tool that makes pattern recognition way faster when you're scanning charts.
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