Divergence
This is a powerful addition to your MetaTrader 4 toolkit designed to optimize market analysis and performance. This Expert Advisor serves as automated trading software. It is utilized to monitor financial markets and execute trades based on predefined algorithmic rules, enabling precise position management without the need for constant manual oversight.
How to Setup and Use Divergence
1. Installation: Open the "File" menu, select "Open Data Folder," navigate to MQL/Experts, paste your file, and restart the terminal.
2. Activation: Drag the EA from the Navigator onto a chart, ensure "Allow live trading" is checked in the Common tab, and verify the AutoTrading button is green.
3. Optimization: Right-click your chart, choose "Expert List," click "Properties" to adjust inputs, and save your preferred setup as a set file for future use.
4. Maintenance: Regularly check the "Experts" tab in the terminal window to monitor trade logs and potential execution errors.
Frequently Asked Questions
Q: Why is my EA not opening trades? A: Check the "AutoTrading" button, ensure "Allow live trading" is enabled, and verify your broker allows automated trading on your account type.
Q: Can I run multiple EAs on one chart? A: No, each chart can only host one active EA; however, you can open multiple charts for different currency pairs to run several EAs.
Q: What does the "smiley face" icon mean? A: A smiley face in the top-right corner of the chart indicates the EA is successfully running; a frowny face means it is disabled.
Description & Settings
The Expert Advisor uses signals provided by the indicator. This does not require the indicator to be present in the terminal folder. The EA configuration parameters include the
"Divergence parameters"
block, which duplicates the similar parameters of the indicator.
The EA opens deals when a divergence of a is registered. The Stop Loss level is set behind the local extremum, reached by the price over the divergence formation period, at the distance of
"Offset for Stop Loss, pts."
. The Take Profit level depends on the distance between the deal opening price and the Stop Loss level. This ratio can be adjusted using the
"Ratio of the TP size to SL"
parameter.
For the Expert Advisor to properly detect the divergences, it is necessary to specify the amount of bars, sufficient for the correct calculation of the base indicator values, in the
"Start bars count"
parameter. For example, to calculate the values of the William Blau base indicator with the parameters 8000, 1, 1, the chart is required to have at least 8000 bars.
The detailed description of the Expert Advisor and thorough test results are given in the article .
