DivHunter

Three Point Divergence Stepping EA

Three Point Divergence Stepping EA is an automated trading tool that utilizes RSI divergence signals combined with a confirmation strategy. Unlike standard divergence indicators, this system applies a specific filtering process to validate signals before trade execution, aiming to identify potential market reversal points.

Strategy Overview

The EA focuses on confirmed divergence setups. It waits for a specific three-point pattern to align with the RSI indicator. This logic is designed to filter out early signals and enter trades when statistical probability suggests a market turn, such as at exhaustion peaks for sells or capitulation bottoms for buys.

Key Features

- Confirmation Logic: Uses a multi-stage validation technique to filter divergence signals.

- Dynamic ATR Grid: The distance between subsequent grid orders is calculated dynamically based on market volatility (ATR) rather than fixed pips.

- Auto Lot Scaling: Optional money management feature that adjusts lot sizes relative to the account balance.

- Trend Filter: Includes a Moving Average filter (e.g., 200 MA) to align trades with the higher timeframe trend.

- Hedge Mode: An optional risk management function that can open counter-positions to manage drawdown.

- On-Chart Dashboard: Displays real-time statistics, including trade breakdown per level and performance across Tokyo, London, and New York sessions.

Take Profit Modes

The EA offers four distinct exit strategies:

1. RSI-Based Exit: Closes trades based on opposing momentum signals.

2. Stepped TP: A breakeven-based system for managing exits.

3. Stepped 2X TP: An alternative strategy targeting larger moves.

4. Custom 2X TP: Allows manual customization of TP multipliers for each grid level.

Recommendations

- Pairs: Major currency pairs and XAUUSD.

- Timeframe: M1 or M5 (recommended for trend filter accuracy).

- Minimum Deposit: Recommended 1000 USD for default settings (0.04 base lot).

Risk Warning

Trading Forex and Commodities involves significant risk. Past performance is not indicative of future results. It is recommended to test the EA on a demo account to understand its logic and risk profile before using it on a real account.