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Awesome Oscillator Divergence Indicator for MetaTrader 5 Download – Free

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MetaTrader4

MetaTrader5

$4FreeFor a limited time
Awesome Oscillator Divergence Indicator for MetaTrader 5 Download – Free
Awesome Oscillator Divergence Indicator for MetaTrader 5 Download – Free 0
Awesome Oscillator Divergence Indicator for MetaTrader 5 Download – Free 1
Awesome Oscillator Divergence Indicator for MetaTrader 5 Download – Free 2
Awesome Oscillator Divergence Indicator for MetaTrader 5 Download – Free 3
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The AO Divergence Indicator in the MetaTrader 5 trading platform analyzes trend changes and its structural weaknesses using 5-period and 34-period moving average calculations.

This MetaTrader 5 indicator identifies bullish and bearish divergences by comparing price movement and the momentum of the histogram.

When a downward price fluctuation accompanies an increase in the AO value, the potential for a trend reversal to an uptrend increases.

On the other hand, when the price is rising, but the AO histogram decreases, it shows weakness in the buyers' momentum and indicates a potential trend reversal.

Awesome Oscillator Divergence Indicator Specifications

The specifications of this indicator are summarized in the table below:

Category

Oscillator – Signal and Forecast – Trading Tool

Platform

MetaTrader 4

Skill Level

Intermediate

Indicator Type

Continuation – Reversal – Leading

Timeframe

Multi-Timeframe

Trading Style

Day Trading

Market

All Markets

Indicator in an Uptrend

After identifying a positive divergence, the price enters an uptrend. An increase in the volume of the histogram bars can indicate the strengthening of this trend, while a gradual decrease in histogram volume serves as a warning for the potential weakening of the trend.

In such cases, traders can close their positions and exit the trade when they observe a decrease in volume.

Awesome Oscillator Divergence in an Uptrend
Awesome Oscillator Divergence Indicator with Positive Divergence in an Uptrend

Indicator in a Downtrend

In the 30-minute EUR/AUD chart, the indicator detects the divergence between price and oscillator and issues a sell signal.

In this scenario, the price forms a higher peak, but the indicator shows a lower peak.

Awesome Oscillator Divergence in a Downtrend
Negative Divergence and Sell Signal in a Downtrend with the Awesome Oscillator Divergence Indicator

Awesome Oscillator Divergence Indicator Settings

The details of the AO Divergence Indicator settings section are shown in the image below:

Awesome Oscillator Divergence Indicator Settings
Settings Section of the Awesome Oscillator Divergence Indicator
  • Number of candles for Pivots calculation: Number of candles used for pivot calculation
  • Maximum distance between two pivots: Maximum distance between two pivots
  • Minimum distance between two pivots: Minimum distance between two pivots
  • Number of divergences from pivot: Number of divergences from the pivot
  • Number of CCI that break the line: Number of CCI breaks
  • Shift: Price shift
  • Sell Divergence: Color for sell divergence signal
  • Buy Divergence: Color for buy divergence signal
  • Width: Line thickness

Conclusion

Using the Awesome Oscillator Divergence Indicator helps detect market reversal points and analyzes the trend's sustainability.

The larger the positive histogram bars in the AO histogram, the stronger the bullish momentum and the continuation of price movement in the same direction.

On the contrary, a gradual decrease in the volume of histogram bars can signal a weakening trend and a potential price reversal.

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FAQs

What do the colors displayed in the AO Divergence Indicator represent?

The blue line indicates positive divergence, which increases the probability of price growth. Conversely, the pink line represents negative divergence, indicating a potential price decrease.

In which markets can this AO Divergence indicator be used?

The AO Divergence Indicator applies to Forex, cryptocurrency, and stock markets.

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