Divergence Panel – a ready-made trading strategy
Timely determined on the divergence chart in most cases allows you to make a profitable trade. However, if you track it yourself, you can skip important signals. To prevent this from happening, you can use the indicators created to solve this problem. Today I’ll tell you about one of them. This is the Divergence Panel indicator. But unlike others, it is essentially a ready-made trading system. This analysis tool not only captures the divergence on the selected currency pairs, but also gives recommendations on the point of entry into the market, as well as the setting of stop-loss and take profit.
Inserting an indicator in MT4 and setting it up
I’ll give you a link to the archive at the end of the article. Download it. There are two files in the archive, which should be placed in the catalog of the trading terminal. It’s done according to the usual pattern. If you are not familiar with it, you can find all the necessary information in my article “Metatrader 4 cheat sheet”. As a result, two new tools will appear in the MT4 tab “Indicator List”: DivergenceSolution and Divergence Panel. They should be set on the chart.
What concerns the settings, there are many of them. But they shouldn’t cause any trouble. The main parameters are related to the choice of currency pairs and timeframes of interest to the trader. Which values will work on those charts Divergence Panel and
Example of trading on the Divergence Panel indicator
As we can see on the screen, the indicator has clearly fixed the divergence on the price chart. And with the arrow pointed out the optimal point for opening a trading position. In the upper right corner there are recommendations on stop-loss and take-profit. The information window displays the situation with other currency pairs and timeframes, which were specified in the settings. This allows you to “keep an eye on the pulse” and open several trading positions. By the way, the appearance of the signal is accompanied by an audible alert, which is also convenient.
As we can see, there is nothing complicated in working with this indicator. It can be the basis of a trading strategy, or it can be a good addition.
It is necessary to try its work in demo trading first. Choose the optimal set of trading instruments and TF. Despite the fact that there are no restrictions on the use of this indicator, it shows the best results in trading on higher timeframes (4 hours and a day).
If you are interested in this market analysis tool, you can download the necessary files below: