MACD Divergence Indicator for MetaTrader5 [Free] TFlab

The MACD Divergence Indicator (MT5) is a powerful technical analysis tool designed for MetaTrader 5. It is essential for identifying trend reversals and continuations, helping traders detect potential buy and sell opportunities.
Divergence detection is crucial in predicting market reversals. A bullish divergence (D+) appears when the price makes lower lows, but the MACD forms higher lows, signaling a potential uptrend. Conversely, a bearish divergence (D-) occurs when the price makes higher highs, but the MACD forms lower highs, indicating a possible downtrend.

You can download ti from this link:
https://cdn.tradingfinder.com/file/4...5_by_tflab.zip



MACD Divergence Indicator Overview

1. Category: Oscillator - Signal & Forecast
2. Platform: MetaTrader 5
3. Skill Level: Beginner
4. Indicator Type: Reversal - Non-Repainting
5. Timeframe: Multi-timeframe
6. Trading Style: Suitable for all trading styles
7. Trading Instruments: All Markets

MACD Divergence in Action – Silver (XAGUSD) 15-Minute Chart
The 15-minute Silver (XAGUSD) price chart illustrates two key divergence scenarios:

1. At Point (A): The latest low is lower than the previous low (LL), but the MACD displays a bullish divergence. This results in a trend reversal from downtrend to uptrend.
2. At Point (B): The latest high is higher than the previous high (HH), but a bearish divergence appears on the MACD, leading to a downtrend reversal.

Buy and Sell Signals from MACD Divergence
Uptrend Confirmation – Gold (XAUUSD) 5-Minute Chart
In the 5-minute Gold (XAUUSD) price chart, the MACD Divergence Indicator identifies a bullish divergence at the end of a downtrend and issues a BUY signal.
Buy Signal: Traders can seek additional confirmation (trigger) using classical or modern analysis before entering long (buy) positions.
Downtrend Confirmation – Texas Oil (WTI) 15-Minute Chart
In the 15-minute WTI crude oil chart, the MACD Divergence Indicator detects a bearish divergence at the end of an uptrend and issues a SELL signal.
Sell Signal: Traders should confirm the signal using their preferred analytical style before entering short (sell) positions.
MACD Divergence Indicator Settings
The MACD Divergence Indicator can be customized with the following parameters:

1. Fast EMA Period: 12-period Exponential Moving Average (EMA)
2. Slow EMA Period: 26-period Exponential Moving Average (EMA)
3. Signal SMA Period: 9-period Simple Moving Average (SMA) (Signal Line)
4. Applied Price: Indicator calculations are based on the closing price
5. Pivot Calculation: Uses 8 candles for pivot detection
6. Pivot Distance:
   1. Max Distance: 30
   2. Min Distance: 5

7. Divergences from Pivot: At least 1 divergence per pivot
8. MACD Breaks: 8 MACD lines must break
9. Shift: Set to 2
10. Sell Divergence Color: Pink (or customizable)
11. Buy Divergence Color: Blue (or customizable)
12. Divergence Line Width: 2

Summary
Divergences play a critical role in major trend reversals. They occur when price movements and indicator behavior diverge, signaling a potential change in trend direction.
The MACD Divergence Indicator simplifies divergence detection, eliminating manual analysis errors. By integrating this automated tool, traders can efficiently spot trend reversals and continuations, making it a valuable asset in any trading strategy.

TFLab Nice MACD Divergence Indicator MT5. Unfortunately My Divergence Shows On The Main Chart. But the Divergence Doesn't show on the Indicator Below. Also It would have been nice if you would have added an alert Signal once Divergence was found by the indicator. Nonetheless Thanks for sharing your free indicator .