A divergence occurs when a wide distance forms from two index lines that are put on the same graph. It means something bad is going to happen. A margin debt divergence in 2007 occurred before the 2008 financial crash.
The Ghost Of Divergences Past Arrives
http://www.zerohedge.com/news/2013-05-2 ... st-arrives
Margin Debt Divergence
http://www.businessinsider.com/chart-ma ... nal-2013-5
The Ghost Of Divergences Past Arrives
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Moretorque
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