OPEN-SOURCE SCRIPT

Multiple Divergences (UDTs - objects) - Educational

Updated

█ OVERVIEW

This script highlights the usage of User-defined Types (UDTs) and objects, and bullish /bearish divergences.

Pivotpoints are used to find divergences, the result of this script will be different against other public multiple divergences scripts.

FOR Pine Script™ CODERS

Besides the information found in CONCEPTS, the comments in the script will, hopefully ), guide you through my thought process.

█ CONCEPTS

The main principle of this script are bullish /bearish divergences, this with 3 different oscillators (RSI, CCI, MFI)
If you want to know more about divergences, have a look at some Education and Research idea's.

On every bar, an object HLs is made, containing bar_index, high, low, and 2 bool variables (isPh, isPl).
On every bar, an object Osc is made, containing bar_index, o (oscillator value), and 2 bool variables (isPh, isPl).
If a pivothigh (ph ) is found, isPh will be true on that bar, false otherwise.
If a pivotlow (pl) is found, isPl will be true on that bar, false otherwise.
These objects are added to an array, with limited size.
If a ph is found, the script draws a testline from that ph to every previous ph, found in the array.
Then every high in between these 2 points are checked if they don't pierce the testline.
If the testline isn't broken, the Reg_Div_Piv() function will give 4 values, 1 check (not pierced) variable and the 4 points of the line.
The testline is deleted.
Once a positive check is found, the script will perform the same, but now with the Osc objects.
The script will ONLY compare Oscpivots which are maximum 1 bar away from the high/low pivot.
If everything is confirmed, a line is drawn, visible on the chart.

█ REMARKS

A label will be visible with a number, this is the amount of divergences found with the according oscillator.

EXAMPLE

Div with RSI and CCI -> 2
Div with MFI alone -> 1
Div with RSI and CCI and MFI -> 3
...

Divergences should only be used when confirmed, this is after bar close.
As an aid, lines that are not confirmed will be dotted, if confirmed, they will be solid.

The divergence check start when a ph/pl is found, after which oscillator pivot are checked.
Optionally the same can be done, when a oscillator pivot is found and then check the ph/pl,
this should give more results, although it can make the script slower.

█ SETTINGS

Left - amount of bars at the left which needs to be lower/higher
Right - amount of bars at the right which needs to be lower/higher
Max values - maximum values in array of objects
3 oscillator settings with
     • ON/OFF
     • Length
     • color bullish divergence
     • color bearish divergence

Have FUN!

Release Notes

Completed arguments in functions -> This gives more information while hovering over function names.

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.

Want to use this script on a chart?

fikira

LuxAlgo Dev: luxalgo.com
PineCoder: pinecoders.com

- We cannot control our emotions,
but we can control our keyboard -

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