OsMA Divergence Indicator for MetaTrader 4 Download – Free – [TFlab]

The OsMA Divergence Indicator automatically detects bullish and bearish divergences between price action and the OSMA oscillator and visualizes them graphically on the chart.

These divergences occur when price forms a new high or low, but the indicator does not confirm the move—often signaling a potential trend reversal.

OsMA Divergence Indicator Specifications Table

The main features of the OsMA Divergence Oscillator are summarized in the table below.

Indicator in an Uptrend

In the 1-hour chart of the CAD/CHF currency pair, the indicator detects a hidden bullish divergence, issuing a signal for the start of an uptrend.
This signal is illustrated by a green line shown on both the oscillator and price chart simultaneously, suggesting a likely reversal to the upside.

Indicator in a Downtrend

The following image shows the gold price chart in the 1-hour timeframe. The indicator identifies a regular bearish divergence between the price and the OsMA oscillator, and displays a pink line, indicating a possible trend continuation or start of a new downtrend.

OsMA Divergence Indicator Settings

The adjustable parameters of the OsMA Divergence Oscillator are shown in the image below:

• OsMAFastPeriod: Period for the fast moving average
• OsMASlowPeriod: Period for the slow moving average
• OsMASignalPeriod: Period for the signal line
• OsMAPrice: Price calculation method for OsMA
• ExtrLeftBars: Number of bars to extend to the left of the chart
• ExtrRightBars: Number of bars to extend to the right of the chart
• PlusSens: Positive sensitivity for trend direction
• MinusSens: Negative sensitivity for opposite direction
• DrawLinesSW: Enable drawing of trend lines on chart
• DrawLinesCHW: Enable drawing of horizontal lines on chart
• Col_Peak_1: Color of first peak (highest point)
• Col_Peak_2: Color of second peak (second-highest point)
• Col_Trough_1: Color of first trough (lowest point)
• Col_Trough_2: Color of second trough (second-lowest point)
• ShortName: Short label for the indicator

Conclusion

The OsMA Divergence Indicator is a powerful analytical tool used to detect divergences and potential reversal points in the financial markets.

Since the signals are not repainted after formation, combining this indicator with key technical levels, candlestick patterns, and trend analysis can significantly strengthen trading strategies.