Will this indicator tell me when MACD and price diverges?
On the indicator Netto uses in his methods- it appears as one indicator. How you can get only one output is beyond me. Maybe an average- in the formula it looks like one maybe subtracted from the other. I have no idea- I am not that skilled in programming etc..
Ty for helping, MRippy
Trend Reversal Index
It is from John Netto's book- One Shot One Kill Trading
He uses it for DIVERGENCE trading much like the applications mentioned in this thread. He found that after looking at hundreds of different indicators- he found that this indicator worked the best.
Netto mentions that it is a RSI 13 period with a RSI 3 period
the Metastock formula is:
I hope that somebody has seen this indicator for MT4, or is kind enough to create for a non-programmer etc..
There's no need to create an indicator - just drop a RSI period 3 inbuilt indicator on top of a period 13 (or viceversa). Problem is, the resulting indicator is pretty incoherent, no tradable divergences that I can see...
I prefer CCI as it tends to deliver cleaner and quicker signals. Of course, it delivers false ones as well, but, that's where having clear exit rules helps.
I suppose if there were a few people willing to contribute toward my cost for getting this thing developed (which currently is $500), I'd consider making it available to the community along with my rules.
Of course, after the indicator is complete, work will begin on the EA which is also based on a very strict set of rules. Divulging that would take a bit more coaxing!
Have you developed the divergence indicator , yet? Could you post some pictures to see how it works ? I work with USD/CAD and it will be better to see the indicator on this chart. H1, H4, D1, W1
I'm looking for the MACD, Stochastic and RSI divergence indicators, but was not able to find them of get a working version. Could anybody tell me were I could find them?
I haven't seen a good working one for MQ4
Is anybody interested in the coding of a divergence indicator ?
I would like to have an indicator which analyses the price and an indicator like MACD or Stochastic and returns 1 if bullish divergence, 0 if nothing and -1if bearish divergence (for example). I want to detect the case when the price is making a new high/low, but the indicator is not.
Also, as soon as the indicator has gone to the other side (for example if Stochastic was overbought and showed a bearish divergence, and then went down crossing 50 or reached the oversold level) the divergence indicator should not say that there is still a bearish divergence.
How could I code it? Using zigzag?
What are the value returned by a zigzag indicator at a given time? Does it return the last pick/though value?
"This indicator will plot divergence lines on the MACD indicator and will give buy and sell signal by displaying green and red arrows. It also has a built-in alert function. As the original indicator, bullish divergence is plotted in green lines while bearish divergence is plotted in red. If the divergence is classic the line will be solid and if the type is reversed the line will be interrupted."
FX5_MACD_Divergence - MQL4 Code Base
fxtsd thread on divergense(reverse-divergence), ind & staff