
Stock Broker Turned Millionaire Trader - Scott Manzo
The Trader's Journey
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The Divergence Is Getting Bigger and Bigger
The first question I look at when these things are in my scanner is the stock above or below the 20-day moving average, the 20-period moving average. And if it's diving lower and lower and lower, the divergence is getting bigger and bigger. If you're shorting something on the upside, you probably don't want to be short if that RSI on the five minute is under 70. Once you start to get into the 70s, it gets interesting. The number that I like to use is somewhere in the middle.
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