The last version have fixed reversal amount to weed out false signal.
The reversal amount, however, needs to be calibrated to different chart.
The new one uses ATR instead, user can customize the ATR multiplier.
THIS IS NOT A TRADING SIGNAL SYSTEM
though it can be used in such a way it is not designed to.
The system helps identify and Divergence to help trader change their bias accordingly and should be used in conjunction with a trend following signal.
is displayed with a green fill over 50 line.
DIVERGENCE is displayed with a red fill under 50 line.
The indicator start on the bar where divergence is detected and persists for another 25 bars for easy regcognition.
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.