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MASTER THE DIVERGENCE ENGINE. In 2026, trading retail chart patterns isn't enough—you need Asymmetric Momentum Confluence. In this advanced technical masterclass, I break down the Directional Index Divergence Strategy, a high-precision trading framework built specifically for capturing powerful trend continuations in high-velocity OTC asset markets.

Instead of relying on the standard Average Directional Index line alone, I expose how the structural divergence between the $+DI$ (Plus Directional Indicator) and $-DI$ (Minus Directional Indicator) lines uncovers hidden accumulation and distribution. To ensure maximum execution safety, I layer this with the dual-momentum filtering of the Williams %R (tracking micro-velocity and immediate overbought/oversold exhaustion) and the MACD Indicator (validating macro-level structural momentum). Stop trading noise and start using data-driven, rules-based confluence to ride institutional-level expansions with mathematical precision.

Open Demo Trading Account: https://pocketoptioncapital.com

📖 The ADX Divergence Confluence Blueprint:

1. The Directional Index Divergence Engine: Deconstructing the $+DI$ and $-DI$ relationship.
2. Trend Continuation Framework: Why DI divergence acts as an early warning for structural trend extension.
3. The Micro-Velocity Layer: Calibrating Williams %R to confirm rapid-fire price exhaustion.
4. The Macro-Momentum Shield: Using the MACD histogram and signal line to filter out false breakouts.
5. EXPLICIT ENTRY CRITERIA: The exact moment all 3 indicator variables align in real-time.
6. LIVE MARKET AUDIT: 6 Technical setups analyzed on the asset charts.

🔥 READY TO UPGRADE YOUR TECHNICAL LOGIC? Hit LIKE, SUBSCRIBE for more institutional-grade software and strategy audits, and comment "DIVERGENCE" below for my 2026 Indicator Calibration Sheets!

⚠️ Disclaimer: Trading OTC and real-market financial assets involves significant risk of capital loss. Technical indicators are mathematical models based on historical price data and do not guarantee future performance. This content is for educational purposes only and is not financial advice.

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Transcript
00:00In this video, I'm going to be trading regular currency pairs utilizing three indicators.
00:06The ADX, or average directional index indicator, the Williams Percent R, Williams Percent Range indicator,
00:13and the MACD indicator, moving average, convergence, divergence indicator.
00:18Gus Schmidt, and I'm back with another video.
00:22So today I'm on the pocket option platform here, and I'm going to be trading regular currency pairs here.
00:29So if we click on our assets icon, pocket option has various assets available to trade.
00:36They have currencies, cryptocurrencies, commodities, stocks, and indices.
00:41I'll be focusing on regular currency pairs, not the OTCs, not the synthetic currencies, but the real currency pairs.
00:51Okay, so if we click on our assets icon here, a drop-down menu shows up,
00:57and I've already checked off all the regular currency pairs here, as you can see.
01:03So that way they can appear at the top of the chart, and I can analyze each of the currency
01:09pairs quickly to do my analysis.
01:12All right, so I'm going to be utilizing three indicators.
01:16The first indicator is the ADX.
01:18So if I click on the pencil icon here, I have the ADX smoothing set to 14, the DI length
01:26set to 7.
01:27In the style settings, I've disabled the ADX line.
01:30We're not going to need that.
01:31And I've changed the plus DI line color to green, two pixels, and the minus DI line to red with
01:39a line width of two pixels as well.
01:41Okay, so we can go ahead and save that.
01:43For the Winspercent R line indicator, I have the period set to 7.
01:52And in the style settings, I have the lines, all the line widths increased to two pixels each year.
02:02So we can go ahead and save that.
02:04For the MACD indicator, the settings are the default settings.
02:11I haven't changed them.
02:12I've kept maintaining the default settings here.
02:15Fast period 12, slow period 26, signal period 9.
02:20And in the style settings, I've increased the MACD line to two pixels, green, and the signal line, the red
02:28signal line to two pixels.
02:29So we can go ahead and save that.
02:32For the candlestick chart, I've set my candles to 30 seconds, Japanese candles here.
02:43And for my trade timer, I have the expiration set to two minutes.
02:49So I'll be taking two-minute trades, turbo trades, while looking at 30-second Japanese candles.
02:56And here, I've also set the time frame for the chart to M30 or 30 minutes here.
03:04So there are various settings you can have, but we're going to keep it at 30.
03:10And make sure, sometimes when you change the settings on the time frame, the candlestick charts change.
03:18So make sure it stays at 30-second candles and 30 time frame for the chart.
03:25Okay, so what I'm going to do now is I'm going to pause the video and look for some trade
03:30setups.
03:33Okay, so I'm on the Great British Pound, U.S. Dollar, and I just took a sell trade here.
03:40And the reason why I took a sell trade is I took the sell trade right when I noticed the
03:45divergence of the two ADX signal lines here.
03:51Also, if you look at the price action of the currency pair, it's showing a general bearish movement here.
04:00So we want to trade with the trend.
04:03And then if you look at the Winspercent R line, it's crossed below the minus 80 line here,
04:08which suggests the relative strength of the bearish momentum, the bearish trend, is still relatively strong.
04:18And then with the MACD line, we're seeing the signal line sloping downward here.
04:28And some red bars beginning to print here.
04:33And they're printing below the zero line.
04:36So all of these confluences suggest a continued bearish push to the downside,
04:42a bearish breakout to the downside in the price of the currency pair here.
04:48So let's monitor this trade and wait for the expiration.
05:06So let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:11trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:12trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:13trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:13trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:14trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:15trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this trade, let's monitor this
05:15trade, let's monitor this trade, let's monitor this
05:26okay so that trade was in the money all right so let me pause the video and look for
05:32our next setup
05:36okay so i'm back on the great british pound us dollar and i noticed
05:43uh the bearish trend is continuing so i went ahead and took another sell trade here
05:50once i noticed this sharp divergence here you see how this
05:54line here diverges from the green line here as soon as i saw that sharp divergence i took another
06:02sell trade plus if we notice the winds were sent our line is holding steady below the minus 80 line
06:08which tells us that the strength of the bearish movement is still relatively strong and now look
06:16at the macd indicator here the histogram bars are growing in length and they're printing below the
06:23zero line and then we have the the mac the green macd line and the red signal line sloping downwards
06:31so
06:32all of these confluences price action the divergence here the winds percent are momentum all of these
06:42suggests a continued bearish breakout to the downside in the price of the great british pound us dollar
06:50so let's monitor this trade it's currently in our favorites continues to push downward here
06:58the divergence is increasing here so let's wait for the expiration at the end of the two minutes
07:33okay so that trade was in the money
07:35all right so i'm going to pause the video and look for our next trade setup okay so i'm on
07:41the
07:41aussie dollar canadian dollar currency pair and i just took a put trade or a sell trade here
07:49and the reason why i took the trade first of all we're seeing a bearish price action currently in the
07:55price of the currency pair from top left to bottom right secondly there's a growing divergence of the
08:03adx lines here uh the plus minus di line uh it's holding steady above the plus di line here
08:14and then if we look at the winds percent are it's holding steady below the minus 80 line would suggest
08:20the strength of the bearish trend is relatively still strong and if you look at the macd indicator here
08:29the histogram lines are printing below the zero line they're growing in length and the macd lines are
08:39also sloping slightly downwards here so all of these confluences the price action the divergence
08:46the adx divergence the williams percent are momentum and the macd histograms all suggest a continued bearish
09:00push to the downside bearish breakout to the downside in the price of the currency pair so let's monitor this
09:08trade and wait for the expiration
09:34okay so that trade was in the money all right so i'm going to pause the video
09:39and look for one last setup
09:43okay so i'm on the aussie dollar swiss franc currency pair and i just took a sell trade here
09:51and the reason i took the sell trade first of all if you're looking at the look at the price
09:55action
09:56here it's beginning to show a strong bearish trend here to the downside here we want to trade with the
10:03trend also the adx lines are diverging here they're showing there's a growing divergence here starting here and then the
10:13the separation of a lot of the lines then if you look at the width percent r line it's holding
10:19steady below the minus
10:20the red minus 80 line and then the macd line the histograms are the histogram bars are printing
10:32below the zero line here okay wait a minute
10:45yeah so the histogram bars are printing below the uh the zero line even though we're seeing some green
10:54bars here they continue to print below the zero line so let's monitor this trade and wait for the expiration
11:15sometimes the pocket option charts will just flicker and do their own thing so i just went and set it
11:22back up
11:36okay so that trade was in the money so to recap we want to trade with the trend so i
11:41noticed this
11:42bearish trend this bearish momentum occurring saw the growing divergence of the adx lines
11:48wins percent our line is showing the strength of the momentum the bearish momentum was still strong
11:54by hanging below the ad line or at the ad line and then the macd bars the histogram bars were
12:04continuing
12:04to print below the zero line okay so i'm going to end the session here if you like the video
12:10please give
12:10it a thumbs up subscribe to my channel if you're interested in learning more and keeping up to date with
12:16my
12:16latest trading strategies i have a link to the platform in the video comments
12:21and or in the video description or the channel bio if you're interested in opening an account
12:28do some demo trading first to get proficient in the strategy i also wanted to let folks know i've only
12:35been risking about one percent of my balance here uh and that's part of good money management we don't
12:42want to risk high percentages of our capital because they can also lead to huge losses so the idea is
12:49that you want to grow your account as long as you're winning about 66 to 70 percent of your trades
12:56you will be
12:56able to grow your account uh with binary options okay so thank you for watching
13:07adx trading adx trading strategy gush schmidt and i'll see you in the next video
13:13you
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