0chart is showing a bullish RSI divergence.
Let's understand the difference clearly.
1. Bullish Divergence (Present in the chart the was shown in the video) ✅
This happens when:
- Price makes a Lower Low (LL).
- RSI makes a Higher Low (HL).
Your chart shows exactly this.
Price
- First Low ≈ 273.2
- Second Low ≈ 272.3
- Price formed a Lower Low ↘
RSI
- First RSI Low ≈ 15
- Second RSI Low ≈ 22
- RSI formed a Higher Low ↗
Therefore,
Price ↓ (Lower Low)
RSI ↑ (Higher Low)
➡️ Bullish Divergence
This suggests:
- Selling pressure is reducing.
- Bears are losing momentum.
- A short-term reversal or relief rally becomes possible.
2. Bearish Divergence
This occurs when:
- Price makes a Higher High
- RSI makes a Lower High
