The indicator identifies when a divergence occurs between price and an oscillator. It identifies both regular and hidden divergences.

Please also check out my other divergence products:

• Can detect divergences for the following oscillators/indicators: MACD, OsMA, Stochastics, RSI, CCI, RVI, Awesome, ADX, ATR, OBV,  Composite index, MFI and Momentum. Only one oscillator/indicator can be selected.
• Draws solid lines for regular/classical (potential reversal) divergences and dashed lines for hidden (trend continuation) divergences. The lines are drawn on the chart as well as in the indicator window.

Input parameters

• Oscillator to use: Default is Stochastics. You can select from any of the above mentioned oscillators/indicators.
• Use old logic (before version 1.9): True or False. Set to True to detect divergences the way it was before version 1.9. The new logic will detect more divergences but it will also come with a performance cost. Something which will be more visible on slower computers. The new logic will allow divergences even if there are additional indicator extremums (top/bottoms) between the 2 already existing extremum points.
• Divergence candle shift (must be 0, 1 or 2): Set to 2 for a stronger confirmation of the possible reversal/trend continuation (confirmed divergence). By having it set to 1 you will catch the possible movement earlier (unconfirmed/pending divergence). On the other hand, the signal is less reliable. You can also set it to 0 for catching “early” divergences. This means that the alert will come directly upon candle open instead of waiting for the slope in the indicator to change direction (candle shift 1 or 2), which means that the price must show at least some sign of reversal. Please be aware though that this will lead to more false signals (repaintings). Higher values than 2 are not supported.
• Bars to check (divergence depth): Bars back in time to check for a divergence. Default is 40.
• Max history bars: Bars back in time for which to draw divergences. Default is 1000.
• MACD and OsMA SETTINGS
  • Fast MA: Default is 12.
  • Slow MA: Default is 26.
  • Signal MA: Default is 9.
• CCI, RSI, RVI, ATR, MFI, MOMENTUM SETTINGS
  • Period: Default is 10.
• STOCHASTIC SETTINGS
  • K: Default is 14.
  • D: Default is 3.
  • Slowing: Default is 3.
  • Apply to price
• ADX AND OBV/MFI (VOLUME) SETTINGS
  • ADX period
  • ADX line mode
  • OBV/MFI volume type for calculation: List box from where you can select from Tick volume or Real volume.
• COMPOSITE INDEX SETTINGS
  • RSI slow period
  • RSI fast period
  • Momentum period
  • Average period 1
  • Average period 2
  • Average period 3
  • Price type
• Show RSI/Stochastics/MFI indicator window levels: True or False. Please leave this value to False if you are setting you own custom indicator levels.
• Indicator level 1: Default is 80.
• Indicator level 2: Default is 20.
• Indicator max. value: Default is 100.
• Indicator min. value: Default is 0.
• Bullish divergence line color: Color for bullish lines.
• Bearish divergence line color: Color for bearish lines.
• Indicator level line: Color for indicator level lines.
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