Stock Name - Divislab (NSE) This is a perfect example for CCI Divergence. This is called a positive divergence. How its act ?? Let's find out the reason. First you have to check the two things which is most important like this trade. Check the price direction and CCI direction. If mismatch the both the check and identify the exact point. First check the price trend. In this case the price showing negative trend. Now we have to check the CCI as I mentioned earlier. Just look at the chart. Chart showing different direction which is very much important for this trade concept. Now you can see the price going down Trend but the CCI line showing some positive Trend. Now the question is what will be the next direction of this price action? At this time you have to to go with CCI trend which is going to to the positive direction as you seen on my last picture.
(Trader & Investor of NSE, BSE, FAO, MCX Twitter : https://twitter.com/subham2010)