It is highly risky because you need to determine when a trend is weakening. Divergence is one of the few tools that generates effective signals when trends weaken. Divergengine 98 is a collection of systems, indicators and user functions that detect and display divergence. There are all kinds of divergences. The classic divergence is between price and an oscillator such as RSI or Stochastics.
Divergence can be bullish or bearish.
Bullish divergence is when prices move to new highs and the oscillator does not. Bearish is when price moves to new lows and the oscillator does not. Retracement Levels - DivergEngine Original allows the user to specify the overbought and oversold levels and the retracement from those levels. No tool has ever offered this level of control. Customized Divergences - DivergEngineUnb98 gives the user inputs to control the percent difference between the price peaks and also between the oscillator peaks.