A very common request I receive for custom indicators and strategies is to include divergence. While divergence is easy for the eyes to see, it can be quite difficult to define in terms that are programmable. The Divergence Indicator for NinjaTrader utilizes a sophisticated algorithm to detect divergence, and eliminates some shortcomings of typical divergence indicators. It can be calculated using ANY indicator that you have in NinjaTrader (ex. RSI, MACD, Stochastic, or any custom indicators).
What is Divergence?
The simple definition of divergence is when price is moving in the opposite direction of a given indicator. Typically divergence is calculated using an oscillator type of indicator. Some common indicators used to detect divergence include the MACD, RSI, and Stochastic indicators. The image below shows an example of divergence using the MACD indicator, which is the blue line at the bottom of the chart. The indicator has drawn lines on the price chart connecting lower highs in price. Similarly, the indicator has drawn a line on the MACD chart connecting higher highs. Since price is making lower highs, and the indicator is making higher highs, we have divergence!
Here is another example of divergence, where price is making higher lows and the indicator is making lower lows.
There are 4 possible scenarios that we can use to find divergence:
Regular Divergence
- Price is making higher highs while indicator is making lower highs
- Price is making lower lows while indicator is making higher lows
Hidden Divergence
- Price is making lower highs while indicator is making higher highs
- Price is making higher lows while indicator is making lower lows
The Divergence Indicator for NinjaTrader will detect all types of divergence listed above, and plot color coded lines to allow you to easily identify different types of divergence.
Additional Features
- Typical Divergence Indicator’s have a delay of several bars before identifying a divergence pattern. The delay in this indicator is limited to 1 bar!
- Will calculate based on ANY indicator you have in NinjaTrader (ex. RSI, MACD, or any custom indicator)
- Filters allow you to easily identify which types of divergences generate the best trading opportunities
- Email and Audio alert notification of new divergence signals
- Customizable Plots
- And More…
No other products compare when it comes to detecting and analyzing divergence patterns in NinjaTrader!
How To Purchase
Purchase a LIFETIME LICENSE for only $199.95. Simply Click the button below to add the item to your cart, then click the “My Cart” link at the top of this page to proceed to the checkout. NO REFUNDS, ALL SALES ARE FINAL!
Available for NinjaTrader 7 and NinjaTrader 8
Users Guide
Click the button below to download the users guide for the Divergence Indicator.
NinjaTrader Divergence Indicator User’s Guide
Additional Information
If you would like more information about our Divergence Indicator for NinjaTrader, please email me at info@freeindicators.com.
54 comments
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ct1942
November 5, 2013 at 7:30 pm (UTC 0) Link to this comment
You say “this week only” lifetime licence. Is that for that indicator or ,does that mean all future indicators?
Free Indicators
November 5, 2013 at 7:37 pm (UTC 0) Link to this comment
It is a lifetime license for this indicator only. At the moment, all of the other indicators on the site are completely free.
Bill Bayer
December 4, 2013 at 5:12 am (UTC 0) Link to this comment
Is the divergence indicator available for Tradestation?
Free Indicators
December 4, 2013 at 1:10 pm (UTC 0) Link to this comment
Unfortunately the divergence indicator is not available for TradeStation at this time. I am hoping to have this available in the next month or so.
Rob
April 30, 2014 at 3:53 pm (UTC 0) Link to this comment
I would like to know if your divergence indicator will recognize and be able to plot divergences with price with the “Gomi CD” – Cumulative delta indicator- it is a custom widely available indicator that many people have for ninja. Thanks –
Free Indicators
May 1, 2014 at 2:59 pm (UTC 0) Link to this comment
I have not tried the divergence indicator with the Gomi CD indicator, but as long as the Gomi CD indicator is exposing the values it should work without any issues.
Kingsley
January 26, 2015 at 12:07 pm (UTC 0) Link to this comment
Hi there, I am interested in this indicator. Do you offer any trial before I commit to buy? Cheers!
Free Indicators
January 30, 2015 at 6:04 pm (UTC 0) Link to this comment
There is no free trial available for the indicator.
Milby Pickell
May 6, 2017 at 6:54 pm (UTC 0) Link to this comment
It has been quite a while since you mentioned the 7 day money back guarantee, Does it still apply?
Free Indicators
May 8, 2017 at 1:15 pm (UTC 0) Link to this comment
There is no 7 day money back guarantee. All sales are final.
Milby Pickell
May 8, 2017 at 1:37 pm (UTC 0) Link to this comment
That’s too bad about the guarantee. I have a Stochastics Indicator but in one up or down swing, it will produce 15 or 20 signals to the point of making them useless. I need significant swing highs and lows. Is your algorithm any more discriminating?
Free Indicators
May 8, 2017 at 1:43 pm (UTC 0) Link to this comment
Yes. This indicator contains filters that will allow you to reduce the number of signals. You can read more about the filters in the Users Guide at http://www.mooretechllc.net/Downloads/NinjaTrader/DivergenceIndicatorUsersGuide.pdf
Israel
March 16, 2015 at 2:30 am (UTC 0) Link to this comment
Can this be set to give divergence signals on multiple MA’s at once? Can it give signals as simple arrows on the chart? I use other indicators and this would obscure things way too much.
Free Indicators
March 26, 2015 at 12:13 am (UTC 0) Link to this comment
The indicator can give signals on multiple indicators at once, but you will have to put multiple instances of the indicator on your chart to do so. The indicator will not currently identify the signals using simple arrows, but if you visit the custom programming link in the menu the indicator can be modified to do so.
Rob
June 30, 2015 at 7:17 pm (UTC 0) Link to this comment
Can I reference the indicator in a strategy to automatically execute trades?
Free Indicators
June 30, 2015 at 9:21 pm (UTC 0) Link to this comment
Yes you can
Jose
September 23, 2015 at 8:23 pm (UTC 0) Link to this comment
Hi!
You can say what systems you have here for Ninja?
And see the performance before?
Thnaks
Free Indicators
September 23, 2015 at 8:24 pm (UTC 0) Link to this comment
I do not have any systems. Only indicators.
daniel perales
April 29, 2016 at 1:38 pm (UTC 0) Link to this comment
hi, will be this indicator deliver for ninjatrader 8?
Free Indicators
May 19, 2016 at 12:24 pm (UTC 0) Link to this comment
The indicator is not currently compatible with NinjaTrader 8, but it will be in the near future.
John
May 23, 2016 at 2:03 pm (UTC 0) Link to this comment
I notice in the above examples that when price makes an equal high or equal low (double top or double bottom) and there’s divergence in the indicator, your divergence indicator does not flag it as divergence. Can your indicator be configured to look for these double tops and bottoms?
Also, with NinjaTrader 8 being released soon, will you offer a free upgrade to your divergence indicator so that it will be compatible with Ninja’s new platform?
Free Indicators
May 23, 2016 at 2:17 pm (UTC 0) Link to this comment
The indicator will detect divergences on double tops and double bottoms. There will be an upgrade to the NinjaTrader 8 version soon, but I do not yet have details on pricing.
John
May 23, 2016 at 3:01 pm (UTC 0) Link to this comment
Thanks for the quick reply. In your first chart above (the ES on 10/16/2013) there’s a double top between the high at 11:13 and the high at 12:20 but your divergence indicator is not showing the bearish divergence – is this something that can be corrected in the settings of the indicator?
Free Indicators
May 23, 2016 at 3:12 pm (UTC 0) Link to this comment
I apologize but I misspoke in my prior reply. The indicator will not detect divergences on double tops and double bottoms. As long as there is at least 1 tick difference in the prices, it will detect divergences.
John
May 23, 2016 at 3:52 pm (UTC 0) Link to this comment
Thanks for the clarification. If you can code double top and double bottom divergences into your NinjaTrader 8 version (or even NT7), please contact me – I’ll be a happy customer!
Free Indicators
August 4, 2017 at 1:30 pm (UTC 0) Link to this comment
The indicator has been modified to detect divergences on double tops and double bottoms.
Guido
March 12, 2018 at 8:15 am (UTC 0) Link to this comment
is it possible with the NT8 ver. of the indicator to filter and to show divergences ONLY when they are occurring , with a + – offset, either at a double top, or at a double bottom, or at a given meaningful level, (for example at a horizontal line, or at a naked POC, evolving POC, or prior day VAH, prior day VAL, evovlving VAH, evolving VAL, prior day high or low, current day high or low, …. )
Free Indicators
March 12, 2018 at 2:18 pm (UTC 0) Link to this comment
Unfortunately, that is not possible with the indicator.
Chris
October 11, 2016 at 3:48 pm (UTC 0) Link to this comment
Can this divergence detector be used in market analyzer for scanning the market?
Free Indicators
October 11, 2016 at 4:06 pm (UTC 0) Link to this comment
Yes. The indicator will output one of five values to the market analyzer window to determine if there is no divergence, bullish hidden, bullish regular, bearish hidden, or bearish regular divergence.
Cliff
March 15, 2017 at 10:01 am (UTC 0) Link to this comment
Is this indicator ready for ninjatrader 8 yet?
15/3/2017
( The indicator will detect divergences on double tops and double bottoms. There will be a free upgrade to the NinjaTrader 8 version of the indicator as soon as it is ready May 23, 2016 at 2:17 )
Thanks
Free Indicators
March 17, 2017 at 12:55 pm (UTC 0) Link to this comment
The indicator is not ready for NinjaTrader 8 as of yet. But, I do plan on getting it done in the next month or so.
Mehm
July 10, 2017 at 10:11 pm (UTC 0) Link to this comment
Hi,
Any update on the version for NinjaTrader 8?
Thanks
Free Indicators
July 11, 2017 at 5:21 pm (UTC 0) Link to this comment
Most of the programming is done. I am hoping to have it ready in the next couple of weeks.
Free Indicators
August 4, 2017 at 1:28 pm (UTC 0) Link to this comment
The indicator is now ready for NinjaTrader 8!!!
Guido
March 12, 2018 at 8:03 am (UTC 0) Link to this comment
Is this new indicator ver.NT8 compatible with the Strategy Builder of the platform?
Free Indicators
March 12, 2018 at 2:17 pm (UTC 0) Link to this comment
Yes it is.
Alex
August 3, 2017 at 10:53 pm (UTC 0) Link to this comment
On how many computers it can be installed? Thx
Free Indicators
August 4, 2017 at 1:04 pm (UTC 0) Link to this comment
Each license is good for 1 computer. Additional licenses can be purchased for $99.95 a piece.
Alex
August 4, 2017 at 8:49 pm (UTC 0) Link to this comment
how is your indicator different for the one available for free for NT7 ?
thank you
Free Indicators
August 4, 2017 at 9:18 pm (UTC 0) Link to this comment
I believe there are several that are freely available. To my knowledge, they only work with a single indicator (RSI, CCI, etc.) while mine works with any indicator. Additionally, none of the free ones you find (or the ones you purchase) will identify as many instances of divergence as mine. Mine is using a very sophisticated algorithm compared to others!
Alex
August 5, 2017 at 6:59 pm (UTC 0) Link to this comment
is it possible to combine for example three indicators RSI CCI and MACD to get only one divergence signal from your indicator?
thx
Free Indicators
August 6, 2017 at 8:08 pm (UTC 0) Link to this comment
Unfortunately this is not possible with the current version of the indicator.
Mehm
August 13, 2017 at 11:06 am (UTC 0) Link to this comment
Hi,
You have parameters like “Indicator Angle” and “Price Angle” which are quite smart, but is it possible to create parameter for “Angle between Indicator and Price”? I think that would be super useful.
Also thanks for finishing the NT8 version, how can we test that and is there anything new in that version?
Thanks
Mehm
Free Indicators
August 14, 2017 at 3:45 pm (UTC 0) Link to this comment
It is possible to add that feature in to the indicator. I will keep this in mind for future versions.
Please contact info@freeindicators.com if you would like to transfer your license for the indicator to NinjaTrader 8.
Jamie
May 16, 2018 at 1:25 am (UTC 0) Link to this comment
Is this indicator still for sale for ninja trader 8? I’m interested in it. But, all of these comments are from 2017 and I want to make sure if I buy this indicator I am going to get it.
Thanks
Free Indicators
May 16, 2018 at 1:01 pm (UTC 0) Link to this comment
Yes, the indicator is available for both NinjaTrader 7 and NinjaTrader 8. You can use the same link to purchase either version.
Christian Ogunor
December 10, 2020 at 3:31 pm (UTC 0) Link to this comment
Hello,
Are you currently running any promo for your divergence indicator for Ninjatrader 8?
Free Indicators
December 14, 2020 at 1:03 pm (UTC 0) Link to this comment
There are not currently any promotions being offered for the Divergence Indicator.
Christian Ogunor
March 8, 2021 at 11:55 pm (UTC 0) Link to this comment
will this work on all bar types (for example – RENKO bars)?
Christian
March 8, 2021 at 11:56 pm (UTC 0) Link to this comment
will this work on all bar types (for example – RENKO bars)?
Free Indicators
March 13, 2021 at 1:50 pm (UTC 0) Link to this comment
Yes, it will work on all bar types, including Renko.
DW
February 15, 2022 at 11:06 am (UTC 0) Link to this comment
Hello,
Are the plots readable by BloodHound?
Free Indicators
April 22, 2022 at 4:11 pm (UTC 0) Link to this comment
Yes