Momentum Divergence Metatrader 4 Forex Indicator

Newbies can now get involved in trading divergence using the Momentum Divergence Metatrader 4 forex indicator.

The indicator helps in spotting potential divergences formed with price action patterns.

The indicator plots a buy signal when the price bars creates a lower low and the Momentum Divergence plots a higher low at the same time.

This is interpreted as a bullish divergence.

A bearish divergence is said to take place when price bars forms a higher high, while the Momentum Divergence indicator makes a lower high.

Classic divergence takes place when the lines are solid, while reversed divergence occurs with dotted lines.

Free Download

Download the “momentum-divergence.ex4” MT4 indicator

Example Chart

The USD/CHF H1 chart below displays the Momentum Divergence Metatrader 4 forex indicator in action.

Basic Trading Signals

Buy Signal: Go long when the green upward pointing arrow of the Momentum Divergence Metatrader 4 forex indicator pops up following a classic bullish divergence.

Sell Signal: Go short when the red downward pointing arrow of the Momentum Divergence Metatrader 4 forex indicator pops up following a classic bearish divergence.

Exit buy trade: Close all buy orders if while a bullish trend is running, the Momentum Divergence indicator displays a red downward pointing arrow.

Exit sell trade: Close all sell orders if while a bearish trend is ongoing, the Momentum Divergence indicator pops up a green upward pointing arrow.

Tips: The Momentum Divergence indicator draws all divergences automatically in the Momentum Divergence indicator window, making it easier to spot divergence

Download

Download the “momentum-divergence.ex4” Metatrader 4 indicator

MT4 Indicator Characteristics

Currency pairs: Any

Platform: Metatrader 4

Type: chart window indicator

Customization options: Variable (separator1, MomPeriod, separator2, MomPrice, separator3, drawDivergenceLines, displayAlert), width & Style.

Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month

Type: trend | divergence

Installation

Copy and paste the momentum-divergence.ex4 indicator into the MQL4 indicators folder of the Metatrader 4 trading platform.

You can access this folder from the top menu as follows:

File > Open Data Folder > MQL4 > Indicators (paste here)

Share Now!