Peter_O

Multiple divergences NON-REPAINT by PeterO

Divergences are well-known tool for finding trend reversals. Powerful, yet... unreliable. Sometimes they show up, sometimes they don't. Sometimes they really mean trend end, sometimes the trend continues. I've witnessed countless discussions about which indicator to hunt for divergences on. All pointless.

Earlier today I found a very inspirational script by Lonesometheblue, combining multiple divergences together. Actually - summing them up and showing hunted divergences count in a label. Because if a divergence shows up on a single indicator like RSI , it can indeed mean trend reversal, but... yeah, check previous pargraph. But if this divergence shows up on 8 different indicators at the same time, then chances increase, don't they?

I decided to do my own version of Lonesome's indicator, because that one is using Label.New, which doesn't allow analysing entire script, only latest 50 occurences or so. I'm not going to hide it - I copy-pasted a lot from Lonesome's code. And from Everget's built-in divergences script, which you can find in PineScript/New. I didn't even bother to modify variable names or cover tracks in any other way, pretending it is my work from scratch. All with these two gentlemen consent and blessing. I added labels from myself, plus bit of rework and here it is:)

I hope you'll find it useful.

P.S. While analyzing divergences today, I discovered one thing. Hidden divergences are not useless, as many people think. But they should be used at trend dips to join the trend, not at trend ends, as reversals. Experiment yourself.

P.S.2 Still, never use only divergences. They need confirmation, they are not self-fulfilling prophecy.
Remove from Favorite Scripts Add to Favorite Scripts
I auto-execute TradingView Alerts into MT4/MT5 using this: https://www.tradingconnector.com. 1-second delivery.

Comments

why open source something that works? Makes it absolete once everyone starts using it...
+5 Reply
Peter_O raovida
@raovida, That's the beauty of open source, isn't it?

But seriously - read the description. Divergences are only a part of the game, you need to check trend direction, etc.
Reply
Open-source in action! Good idea.
+4 Reply
Peter, thanks a lot for this great work, but i am having trouble setting alarms as too many options pop up, how about a simple alert calling negative or positive divergence
+1 Reply
Peter_O johnveluchamy
@johnveluchamy, Let's make a deal - if this script reaches 1000 likes, I'll add alerts. How does that sound?
Reply
@Peter_O, Cheers agreed. Keep up the good work.
Reply
Hi, did the uncheck box "repaint" by default is the good choice? or need to check it to be able to see a more accurate signal? thanks!
Reply
Peter_O 5samnup
@5samnup, repainting signal will never be better :) It will look better on past screenshots, but that's all. Repainting means that indicator pretends it was showing signals based on the information it didn't have in that moment of time = it is fake.

"Repaint" checkbox was added to emphasize that this script DOES NOT REPAINT. Keep it unchecked.
+1 Reply
@Peter_O, Sometimes the labels appear and after, when the bars goes to the opposite direction, the labels dissappear...

I need to do more confirmations and tests... but i think that is not repainted...
Reply
Peter_O thierryap
@thierryap, it only appears and disappears until the candle closes. But that is not a repaint. Besides, look into the code - there is nothing that could repaint.
Reply
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing Refer a friend House Rules Help Center Website & Broker Solutions Widgets Charting Solutions Lightweight Charting Library Blog & News Twitter
Profile Profile Settings Account and Billing Refer a friend My Support Tickets Help Center Ideas Published Followers Following Private Messages Chat Sign Out