OPEN-SOURCE SCRIPT
Wolfpack Divergences [multigrain]
Updated
█ OVERVIEW
A fast and improved divergence finding algorithm that aims to be better than the built-in TradingView divergence algorithm.
█ CONCEPTS
Wolfpack
Wolfpack is an oscillator made popular by darrellfischer1 all the way back in 2017. Since then the Wolfpack oscillator has been utilized by a number of notable strategy/indicator creators. At some point it was realized that the oscillator was simply the Moving Average Crossover Divergence oscillator with the fast and slow length of 3 and 8, respectively. The true significance and reasoning behind these lengths are unknown, however one may surmise that they are chosen due to their relevance as Fibonacci numbers.
Divergences
Divergence is when the price of an asset is moving in the opposite direction of a technical indicator, such as an oscillator, or is moving contrary to other data. Divergence warns that the current price trend may be weakening, and in some cases may lead to the price changing direction.
█ USAGE
Wolfpack
Similar to many other oscillators, when the Wolfpack oscillator reports a value above the zero-line, this indicates a bullish trend in the price. Subsequently, a value below the zero-line indicate a bearish trend in the price.
Divergences
Divergence in technical analysis may signal a major positive or negative price move. A positive divergence occurs when the price of an asset makes a new low while an indicator, such as money flow, starts to climb. Conversely, a negative divergence is when the price makes a new high but the indicator being analyzed makes a lower high.
A fast and improved divergence finding algorithm that aims to be better than the built-in TradingView divergence algorithm.
█ CONCEPTS
Wolfpack
Wolfpack is an oscillator made popular by darrellfischer1 all the way back in 2017. Since then the Wolfpack oscillator has been utilized by a number of notable strategy/indicator creators. At some point it was realized that the oscillator was simply the Moving Average Crossover Divergence oscillator with the fast and slow length of 3 and 8, respectively. The true significance and reasoning behind these lengths are unknown, however one may surmise that they are chosen due to their relevance as Fibonacci numbers.
Divergences
Divergence is when the price of an asset is moving in the opposite direction of a technical indicator, such as an oscillator, or is moving contrary to other data. Divergence warns that the current price trend may be weakening, and in some cases may lead to the price changing direction.
█ USAGE
Wolfpack
Similar to many other oscillators, when the Wolfpack oscillator reports a value above the zero-line, this indicates a bullish trend in the price. Subsequently, a value below the zero-line indicate a bearish trend in the price.
Divergences
Divergence in technical analysis may signal a major positive or negative price move. A positive divergence occurs when the price of an asset makes a new low while an indicator, such as money flow, starts to climb. Conversely, a negative divergence is when the price makes a new high but the indicator being analyzed makes a lower high.
Release Notes
█ CHANGES• Fixed: super delayed alerts
• New: pivot moving average based pivot detection
• New: re-organized settings panel
Release Notes
- New: updated default settings.
Release Notes
- Fix: price source setting switch
Release Notes
- New: replaced Fast Exponential Moving Average with Jurik Moving Average
Release Notes
- New: updated screenshot
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.