Divergence – Divergence is used in technical analysis as an indicator that the price will make a considerable change upwards or downwards. Divergence can therefore be both positive and negative. We therefore speak of bullish divergence (upward price) and bearish divergence (downward price). Divergence signs off when the price and an indicator (like RSI) move in opposite directions. Example: the price goes up but the RSI shows a downward trend.