Hidden Divergence

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LTG
Posts: 30
Joined: 08 Sep 2009

Hidden Divergence

Postby LTG » 18 May 2010

I found the attached divergence indicator on http://www.traderslaboratory.com and made a few modification to it. Notably substituting in stochrsi and getting the indicator to plot a divergence line on both the price chart and indicator for easier viewing.

My question is, can anyone suggest a way to include hidden divergence as well as regular divergence.


RSILength(9),
StochLength(18),
KLength(6),
DLength(3),
OverSold(20),
OverBought(80),
Length(20),
LeftStrength(3),
RightStrength(3),
Line.Color.Top(yellow),
Line.Color.Bot(white),
Line.Size(2),
Plot.stochrsi(1),
AlertOn.Off(1);

//----------------------------------------------------
variables:
//----------------------------------------------------

DToscK(0),
DToscD(0),

oPivotPrice1(0),
oPivotBar1(0),
oPivotPrice2(0),
oPivotBar2(0),

oPivotPrice11(0),
oPivotBar11(0),
oPivotPrice12(0),
oPivotBar12(0);

value1 = FastKCustomEasy(RSI(C, RSILength),StochLength);
DToscK = average(value1,KLength);
DToscD = average(DToscK,DLength);

Condition1 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, -1, oPivotPrice1, oPivotBar1 ) <> -1
AND ( oPivotBar1 - RightStrength ) = 0 ;

Condition11 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, 1, oPivotPrice11, oPivotBar11 ) <> -1
AND ( oPivotBar11 - RightStrength ) = 0 ;

Condition2 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, -1, oPivotPrice2, oPivotBar2 ) <> -1;

Condition12 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, 1, oPivotPrice12, oPivotBar12 ) <> -1;

If
Condition1 and Condition2 // added condition2 = referecne future data
AND L[oPivotBar2] >= L[oPivotBar1]
AND DToscK[oPivotBar2] < DToscK[oPivotBar1] then
Begin
Value2 = TL_New(D[oPivotBar2], T[oPivotBar2], L[oPivotBar2], D[oPivotBar1], T[oPivotBar1], L[oPivotBar1]);
TL_SetColor( Value2, Line.Color.Bot );
TL_SetSize( Value2, Line.Size );
if AlertOn.Off <> 0 then
Alert( "Divergence in Bottom" );
End;

If
Condition11 and Condition12 // added condition12 referecne future data
AND H[oPivotBar12] <= H[oPivotBar11]
AND DToscK[oPivotBar12] > DToscK[oPivotBar11] then
Begin
Value12 = TL_New(D[oPivotBar12], T[oPivotBar12], H[oPivotBar12], D[oPivotBar11], T[oPivotBar11], H[oPivotBar11]);
TL_SetColor( Value12, Line.Color.Top );
TL_SetSize( Value12, Line.Size );
if AlertOn.Off <> 0 then
Alert( "Divergence in Top" );

End;

condition3 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, -1, oPivotPrice1, oPivotBar1 ) <> -1
AND ( oPivotBar1 - RightStrength ) = 0 ;

condition32 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, 1, oPivotPrice11, oPivotBar11 ) <> -1
AND ( oPivotBar11 - RightStrength ) = 0 ;

condition4 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, -1, oPivotPrice2, oPivotBar2 ) <> -1;

condition42 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, 1, oPivotPrice12, oPivotBar12 ) <> -1;

If
Condition3 and condition4
AND L[oPivotBar2] >= L[oPivotBar1]
AND DToscK[oPivotBar2] < DToscK[oPivotBar1] then
Begin
Value2 = TL_New_SELF(D[oPivotBar2], T[oPivotBar2], DToscK[oPivotBar2], D[oPivotBar1], T[oPivotBar1], DToscK[oPivotBar1]);
TL_SetColor( Value2, Line.Color.Bot );
TL_SetSize( Value2, Line.Size );
End;

If
Condition32 and Condition42
AND H[oPivotBar12] <= H[oPivotBar11]
AND DToscK[oPivotBar12] > DToscK[oPivotBar11] then
Begin
Value12 = TL_New_SELF(D[oPivotBar12], T[oPivotBar12], DToscK[oPivotBar12], D[oPivotBar11], T[oPivotBar11], DToscK[oPivotBar11]);
TL_SetColor( Value12, Line.Color.Top );
TL_SetSize( Value12, Line.Size );
End;

Plot1( DToscK, "stochrsi", blue );
plot2( 20, "oversold", white);
plot3(80, "overbought", white);

User avatar
TJ
Posts: 6584
Joined: 29 Aug 2006
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Re: Hidden Divergence

Postby TJ » 18 May 2010

I found the attached divergence indicator on http://www.traderslaboratory.com and made a few modification to it. Notably substituting in stochrsi and getting the indicator to plot a divergence line on both the price chart and indicator for easier viewing.

My question is, can anyone suggest a way to include hidden divergence as well as regular divergence.


if you can quantify it...
you can code it.

LTG
Posts: 30
Joined: 08 Sep 2009

Postby LTG » 18 May 2010

Quantify it huh. I can show a visual of what i'm looking to accomplish it that helps to move the ball forward?
Attachments
hidden-bearish-divergence-blue.png
hidden-bearish-divergence-blue.png (141.2 KiB) Viewed 621 times
hidden-bullish-divergence-blue.png
hidden-bullish-divergence-blue.png (132.24 KiB) Viewed 739 times

LTG
Posts: 30
Joined: 08 Sep 2009

Hidden Divergence - plots on both indicator and price chart

Postby LTG » 28 May 2010

Please provide any comments or feedback.


//----------------------------------------------------
inputs:
//----------------------------------------------------


RSILength(9),
StochLength(18),
KLength(6),
DLength(3),
OverSold(20),
OverBought(80),
Length(20),
LeftStrength(3),
RightStrength(3),
Line.Color.Top(yellow),
Line.Color.Bot(white),
Line.Size(2),
Plot.stochrsi(1),
AlertOn.Off(1);

//----------------------------------------------------
variables:
//----------------------------------------------------

DToscK(0),
DToscD(0),

oPivotPrice1(0),
oPivotBar1(0),
oPivotPrice2(0),
oPivotBar2(0),

oPivotPrice11(0),
oPivotBar11(0),
oPivotPrice12(0),
oPivotBar12(0);

value1 = FastKCustomEasy(RSI(C, RSILength),StochLength);
DToscK = average(value1,KLength);
DToscD = average(DToscK,DLength);

Condition1 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, -1, oPivotPrice1, oPivotBar1 ) <> -1
AND ( oPivotBar1 - RightStrength ) = 0 ;

Condition11 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, 1, oPivotPrice11, oPivotBar11 ) <> -1
AND ( oPivotBar11 - RightStrength ) = 0 ;

Condition2 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, -1, oPivotPrice2, oPivotBar2 ) <> -1;

Condition12 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, 1, oPivotPrice12, oPivotBar12 ) <> -1;

If
Condition1 and Condition2 // added condition2 = referecne future data
AND L[oPivotBar1] >= L[oPivotBar2]
AND DToscK[oPivotBar2] > DToscK[oPivotBar1] then
Begin
Value2 = TL_New(D[oPivotBar2], T[oPivotBar2], L[oPivotBar2], D[oPivotBar1], T[oPivotBar1], L[oPivotBar1]);
TL_SetColor( Value2, Line.Color.Bot );
TL_SetSize( Value2, Line.Size );
if AlertOn.Off <> 0 then
Alert( "Hid Div Bottom" );
End;

If
Condition11 and Condition12 // added condition12 referecne future data
AND H[oPivotBar11] <= H[oPivotBar12]
AND DToscK[oPivotBar11] > DToscK[oPivotBar12] then
Begin
Value12 = TL_New(D[oPivotBar12], T[oPivotBar12], H[oPivotBar12], D[oPivotBar11], T[oPivotBar11], H[oPivotBar11]);
TL_SetColor( Value12, Line.Color.Top );
TL_SetSize( Value12, Line.Size );
if AlertOn.Off <> 0 then
Alert( "Hid Div Top" );
End;

condition3 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, -1, oPivotPrice1, oPivotBar1 ) <> -1
AND ( oPivotBar1 - RightStrength ) = 0 ;

condition32 = Pivot( DToscK, Length, LeftStrength, RightStrength, 1, 1, oPivotPrice11, oPivotBar11 ) <> -1
AND ( oPivotBar11 - RightStrength ) = 0 ;

condition4 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, -1, oPivotPrice2, oPivotBar2 ) <> -1;

condition42 = Pivot( DToscK, Length, LeftStrength, RightStrength, 2, 1, oPivotPrice12, oPivotBar12 ) <> -1;

If
Condition3 and condition4
AND L[oPivotBar1] >= L[oPivotBar2]
AND DToscK[oPivotBar2] > DToscK[oPivotBar1] then
Begin
Value2 = TL_New_SELF(D[oPivotBar2], T[oPivotBar2], DToscK[oPivotBar2], D[oPivotBar1], T[oPivotBar1], DToscK[oPivotBar1]);
TL_SetColor( Value2, Line.Color.Bot );
TL_SetSize( Value2, Line.Size );
End;

If
Condition32 and Condition42
AND H[oPivotBar11] <= H[oPivotBar12]
AND DToscK[oPivotBar11] > DToscK[oPivotBar12] then
Begin
Value12 = TL_New_SELF(D[oPivotBar12], T[oPivotBar12], DToscK[oPivotBar12], D[oPivotBar11], T[oPivotBar11], DToscK[oPivotBar11]);
TL_SetColor( Value12, Line.Color.Top );
TL_SetSize( Value12, Line.Size );
End;

Plot1( DToscK, "stochrsi", blue );
plot2( 20, "oversold", white);
plot3(80, "overbought", white);

User avatar
TJ
Posts: 6584
Joined: 29 Aug 2006
Location: Global Citizen
Has thanked: 970 times
Been thanked: 1907 times

Re: Hidden Divergence - plots on both indicator and price ch

Postby TJ » 29 May 2010

Please provide any comments or feedback.

...


it would help if you tag your codes.


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