First, what is divergence? Divergence by Nexgen is determined using automated Fibonacci retracements between price and a MACD indicator. In 2003-2006 we used to use the actual Macd indicator to find divergences manually. T3 Macd BB lines are still one of the indicators in your toolbox, although it is not used in our plan. Today, the process is automated and will appear as a negative number on the chart with a %. The "size" of the percentage does not matter. Think of divergence as TRUE OR FALSE, not degrees of divergence. The Fibonacci and trigger lines will help us determine the strength of the divergence and how to use it. Divergences will plot magenta and cyan lines that are used as entry or exit areas.