capriole_charles

MACD Divergence Tops + Bottoms

MACD Indicator which plots local peaks and troughs in divergence.

"Classic" Divergence is specified as:
- A higher price, with reduced MACD high --> Potential Sell Point
- A lower price, with higher MACD low --> Potential Buy Point

"Alternative" Divergence is specified as:
- A higher MACD high, with reduced price --> Potential Sell Point
- A lower MACD low, with higher price --> Potential Buy Point

MACD Divergence should be used in combination with other indicators. This indicator identifies local tops and bottoms, with potential for macro trend shifts.

Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.

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