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BEST Divergence Indicator!


Guest indoshare

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Here is one from my archive folder, this is a OSMA indicator with regular divergence, as well as hidden divergence, automatically drawn for you in both the main price window above and in the lower indicator window below. I have forgotten where I initially got this one from.

 

http://mir.cr/BG6M6DNY

 

I used to have a bunch of similar but different divergence indicators, but I have found the best divergence indicator is still our Mark One eye balls, and mentally drawn trend lines. So I had long since trashed many of my old and unused indicators. Unfortunately, the above is the only one I still have left in my archive folder. Hope it is useful to you.

 

I hope others will have even better indicators to share.

 

But my humble suggestion is still to train your own eyes to see the divergence, they tend to be more accurate than auto-drawn indicators. An easy exercise I used to do is simply slap your fav. oscillator on your chart (I use either standard settings for MACD or RSI), and simply on any currency chart, zoom in and zoom out, and try different timeframes. Focus first on the peaks or valleys on the oscillator (for example, the MACD). Once you see 2 consecutive peaks on the oscillator going flat or down (or alternatively 2 consecutive valleys on the oscillator going flat or up), then put two mental (or actual lines, up to you) vertical lines at those 2 peaks (or valleys), follow with your eyes up those vertical lines to the price chart, if those 2 lines correspond to higher highs in an uptrend, (or lower lows in a downtrend), then you have yourself regular divergence.

 

After doing this a few times, it can become almost second nature to spot divergence, just my humble suggestion.

Edited by dukeaugustus
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Hi Duke,

 

Which is the best time frame to use?

 

Thanks.

 

Hi indoshare. Valid divergence should work on any timframe that you normally trade in. The particular indi I shared in the earlier post I was using on M30 and M15, but only because that was the timeframe I was trading in at that time. But I no longer use this indi, as now I prefer to use my eyeballs and line-draw tools.

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Here there are FX5 Divergence_v3 Indie :-bd

 

- Work in ALL Time Frime incld Allert.

- Draw Automatic Divergence Line in MAIN Window.

- Can Setting On/Off Divergence Line.

 

 

 

Enjoy... :)

 

Hi Tsar!

 

Have you found this indy to repaint at all? If it's the same one I used in the past (same name), I saw that the arrow/line would disappear sometimes...

Edited by bnbb2004
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Hi Tsar!

 

Have you found this indy to repaint at all? If it's the same one I used in the past (same name), I saw that the arrow/line would disappear sometimes...

 

Although this is not an indi, but I just happened to see this today, and it is free, a small ebook on trading MACD divergence and convergence, for anyone who is new at this, or not sure of how to trade convergence/divergence.

 

Hi bnbb2004 and dukeaugustus,

 

How much Painters to repaint the Room ?? :D

This Indie based Divergence Signal + Divergence Pattern.

 

It's Not Easy to learn about Divergence... :-?

If you interest to Learn much more, here you go :

 

 

Another :

 

[spoiler=Link Site]hxxp://www.trading-naked.com/Divergence.htm

 

hxxp://www.investopedia.com/search/default.aspx?q=Divergence+&submit=Search

 

 

Best Regards, :)

Tsar

Edited by Tsar
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