OBV Divergence Indicator for MT5 Download – Free – [TradingFinder]

The OBV Divergence Indicator is an analytical tool available on the MetaTrader 4 platform, designed to identify discrepancies between price movement and volume flow in technical analysis.

This indicator is based on the concept of On-Balance Volume (OBV) and visually highlights bullish and bearish divergences on the chart using colored lines, such as green and red.

OBV Divergence Indicator Specification Table

The specifications of the OBV-based divergence indicator are as follows:

OBV-Based Divergence Indicator at a Glance

In addition to visually displaying divergences with colored lines, the OBV Divergence Indicator also displays an information table on the chart, providing more detailed insights into the divergence state. These include:

• Divergence Type: Type of divergence displayed
• Exist: Indicates whether a divergence is present, marked with a positive or negative sign
• Consecutive: Number of consecutive divergences formed
• Quality: Strength and quality assessment of the divergence
• Change Phase: Examination of price phase change

Note: This information applies only to the current divergence.

Bullish Trend Conditions (Positive Divergence)

According to the EUR/GBP chart in the 30-minute timeframe, the OBV indicator displays a detected positive divergence, marked by a green line on the chart.

As seen in the image, after the formation of this divergence, the price continues to move upward, initiating a bullish trend. Additionally, the indicator places supplementary divergence information in the table, making it available to traders.

Bearish Trend Conditions (Negative Divergence)

Based on the EUR/JPY chart in the 5-minute timeframe, the OBV Divergence Indicator plots the negative divergence as a red line across the candlesticks.

Following this signal, the price enters a correction phase and begins a downward trend.

OBV Divergence Indicator Settings

Settings for the OBV Divergence Indicator are as shown in the image below:

• FRACTAL_PERIODS: Number of reference candles for identifying peaks and troughs
• SHOW_TABEL: Toggle display of the information table
• SHOW_LABEL: Toggle display of divergence labels

Conclusion

The OBV Divergence Indicator intelligently detects divergence between price and trading volume by combining visual data and analytical algorithms.

In addition to showing divergence lines, this tool also provides an information table that includes details such as divergence type (bullish or bearish), repetition count, signal quality, and more.