"Trading with the Trendlines - The Power of Divergence" by David Carli

"The Power of Divergence" is the second volume of the series "Trading with the Trendlines." The book explains a strategy that is applicable in every market (forex, equities, commodity...), and which is a combination of divergence, trendlines and a bit of Fibonacci; it is a simple strategy that seeks to exploit the reversal of a market.

What you will read in the book is the correct way to use divergences, in particular, the one between the price and Commodity Channel Index (CCI). Every aspect is well explained, including proper position sizing, through many examples.

Identifying the target profit and stop-loss of this strategy is both easy and clear. Not only this. Depending on your account, I will also explain to you the correct position sizing, to enable you to have proper money management.

If you are a beginner, do not worry; the first two chapters will provide you with adequate knowledge for understanding the strategy and using it correctly.

Do not be tricked by the fact that "Trading with the Trendlines - The Power of Divergence" is widely distributed at printing price. The strategy, if you use it correctly and with the appropriate money management for your account, will give you a high percentage of profitable trades.

However, combining this strategy with fundamental analysis is recommended, as is opening a position only if both give the same signal.