Divergences Template Indicator – indicator for MetaTrader 4

How template works?

This indicator provides a template to be used to plot divergences based on your desired oscillator.

Depending on which oscillator you choose(whether it is CCI, RSI or even your custom indicator) you may modify this part of the code:

   /////////////////////////////////////////////
   //Load indicator data into indicator buffer
   //You can easily replace RSI with any indicator you like
   int BARS=MathMax(rates_total-IndicatorCounted()-pivots_period,1);
   for(int i=BARS;i>=0;i--)
   {
      indicatorBuffer[i]=iRSI(_Symbol, PERIOD_CURRENT, 14, PRICE_CLOSE, i);
   }
   //End of load indicator section
   /////////////////////////////////////////////

signal buffers

   SetIndexBuffer(3,bull_reg_divBuffer);
   SetIndexBuffer(4,bear_reg_divBuffer);
   SetIndexBuffer(5,bull_hid_divBuffer);
   SetIndexBuffer(6,bear_hid_divBuffer);

inputs section

input int pivots_period=5; //period to find indicator pivots
input int alert_confirm_candles=1; //#candles for confirmation(0=disable alert)

Finding pivot highs and pivot lows in indicatorBuffer depends on pivots_period input. The bigger you choose this value it will search larger swings for possible divergences.

Another input is alert_confirm_candles which defines how many bars to wait for confirming a signal. Divergence indicators are mostly lagging and issue a lot of false signals. The bigger you choose this value it will wait more and the number of false signals reduce. It is a compromise whether you want on-time signals or you want confirmed ones. 

Normally you are not allowed to apply  pivots_period < 2.

Repaint issue

   BARS=MathMax(rates_total-IndicatorCounted()-pivots_period,pivots_period);
   for(int i=BARS;i>=0;i--)
   {
      PHBuffer[i]=pivothigh(indicatorBuffer, pivots_period, pivots_period, i);
      PLBuffer[i]=pivotlow(indicatorBuffer, pivots_period, pivots_period, i);
      bull_reg_divBuffer[i]=BullRegDiv(i);
      bear_reg_divBuffer[i]=BearRegDiv(i);
      bull_hid_divBuffer[i]=BullHidDiv(i);
      bear_hid_divBuffer[i]=BearHidDiv(i);
   }