This script is designed to automatically trade on the Forex market based on a "divergence" strategy. Here's how it works:
Overall Goal: The script's main purpose is to find potential buying and selling opportunities by calculating a "divergence" value and then automatically opening, managing, and closing trades based on pre-defined rules.
Initialization: When you add the script to a currency chart, it performs some initial setup. It clears any old visual indicators from the chart and prepares to track key performance metrics like the highest number of open trades, maximum profit, and minimum profit.
Tick-by-Tick Analysis: The script constantly monitors the market. Every time the price changes (each "tick"), it springs into action. It first checks if a new bar has formed on the chart. Think of a "bar" as a single unit of time on the chart (like a 5-minute bar, or an hourly bar). If a new bar has appeared, it resets a flag to allow new trades to be opened.
Trade Management: The script keeps track of how many trades are currently open for the specific currency pair. It also counts the number of Buy and Sell orders separately.
Divergence Calculation: The core of this script lies in the "divergence" calculation. It uses two moving averages of the price, a "fast" one and a "slow" one. The script calculates the difference between these moving averages and uses that value to determine whether the price is likely to go up (buy) or down (sell).
Trading Logic:
- Buy/Sell Signals: The script checks the calculated "divergence" value against user-defined thresholds (DVBuySell, DVStayOut). If the divergence value is within a certain range, it generates a Buy or Sell signal.
- Order Placement: If a Buy or Sell signal is generated, and trades are allowed, the script automatically places an order to either buy or sell the currency pair. It takes into account user-defined settings like lot size (the amount of currency to trade), slippage (the acceptable difference between the requested price and the actual execution price), stop-loss (the maximum loss you're willing to risk), and take-profit (the profit target).
- Order Modification: The script constantly monitors the open trades. It can automatically adjust the stop-loss levels in two ways:
- Break-Even: If a trade becomes profitable by a certain amount (PLBreakEven), the script moves the stop-loss to the trade's entry price (or slightly above/below to account for spread).
- Trailing Stop: As the trade continues to be profitable, the script moves the stop-loss level up (for buy orders) or down (for sell orders) to lock in profits.
- Order Closure: The script automatically closes trades when one of the following conditions is met:
- The trade reaches the take-profit level.
- The trade hits the stop-loss level.
- The overall profit (or loss) of all open trades combined reaches a certain threshold (BasketProfit or BasketLoss).
Data Logging: The script can also optionally save the divergence data to a file for later analysis.
User Input: The script has several customizable settings that you can adjust to fit your trading style and risk tolerance. These include:
- Lots: The size of the trades.
- Slippage: The acceptable price difference during order execution.
- Fast_Period/Slow_Period: The periods used to calculate the moving averages.
- DVBuySell/DVStayOut: The divergence thresholds for generating buy and sell signals.
- ProfitMade/LossLimit: The profit target and maximum loss per trade.
- TrailStop/PLBreakEven: Parameters for the trailing stop and break-even features.
- StartHour/StopHour: Trading hours.
- BasketProfit/BasketLoss: Overall profit/loss limits for closing all trades.
Visual Feedback: The script adds visual indicators to the chart, such as letters "B" (Buy), "S" (Sell), "BE" (Break Even), "TS" (Trailing Stop), and "C" (Close) at points where trades are opened, modified, or closed. It also displays the current divergence value on the chart.
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Divergence Trader_v3
//+------------------------------------------------------------------+
//| Divergence Trader |
//| |
//| |
//+------------------------------------------------------------------+
#property copyright "Ron Thompson"
#property link "http://www.lightpatch.com/forex"
// user input
extern double Lots = 0.1; // how many lots to trade at a time
extern int Slippage = 2; // how many pips of slippage can you tolorate
extern int Fast_Period = 7;
extern int Fast_Price = PRICE_OPEN;
extern int Slow_Period = 88;
extern int Slow_Price = PRICE_OPEN;
extern double DVBuySell = 0.0011;
extern double DVStayOut = 0.0079;
extern double ProfitMade = 0; // how much money do you expect to make
extern double LossLimit = 0; // how much loss can you tolorate
extern double TrailStop = 9999; // trailing stop (999=no trailing stop)
extern int PLBreakEven = 9999; // set break even when this many pips are made (999=off)
extern int StartHour = 0; // your local time to start making trades
extern int StopHour = 24; // your local time to stop making trades
extern int BasketProfit = 75; // if equity reaches this level, close trades
extern int BasketLoss = 9999; // if equity reaches this negative level, close trades
extern bool FileData = false;
// naming and numbering
int MagicNumber = 200601182020; // allows multiple experts to trade on same account
string TradeComment = "Divergence_00_";
// Bar handling
datetime bartime = 0; // used to determine when a bar has moved
int bartick = 0; // number of times bars have moved
int objtick = 0; // used to draw objects on the chart
int tickcount = 0;
// Trade control
bool TradeAllowed = true; // used to manage trades
// Min/Max tracking
double maxOrders;
double maxEquity;
double minEquity;
double CECount;
double CEProc;
double CEBuy;
double CESell;
//+-------------+
//| Custom init |
//|-------------+
// Called ONCE when EA is added to chart or recompiled
int init()
{
int i;
string o;
//remove the old objects
for(i = 0; i < Bars; i++)
{
o=DoubleToStr(i,0);
ObjectDelete("myx"+o);
ObjectDelete("myz"+o);
}
objtick = 0;
//----
ObjectDelete("Cmmt");
ObjectCreate("Cmmt", OBJ_TEXT, 0, Time[20], High[20] + (5*Point));
ObjectSetText("Cmmt", "Divergence=0.0020", 10, "Arial", White);
//----
Print("Init happened ", CurTime());
Comment(" ");
}
//+----------------+
//| Custom DE-init |
//+----------------+
// Called ONCE when EA is removed from chart
int deinit()
{
int i;
string o;
//remove the old objects
for(i = 0; i < Bars; i++)
{
o=DoubleToStr(i,0);
ObjectDelete("myx"+o);
ObjectDelete("myz"+o);
}
objtick = 0;
//----
Print("MAX number of orders ", maxOrders);
Print("MAX equity ", maxEquity);
Print("MIN equity ", minEquity);
Print("Close Everything ", CECount);
Print("Close Proc ", CEProc);
Print("Proc Buy ", CEBuy);
Print("Proc Sell ", CESell);
//----
Print("DE-Init happened ",CurTime());
Comment(" ");
}
//+-----------+
//| Main |
//+-----------+
// Called EACH TICK
int start()
{
double p = Point;
double spread = Ask-Bid;
//----
int cnt = 0;
int gle = 0;
int OrdersPerSymbol = 0;
int OrdersBUY = 0;
int OrdersSELL = 0;
//----
int iFileHandle;
// stoploss and takeprofit and close control
double SL = 0;
double TP = 0;
double CurrentProfit = 0;
double CurrentBasket = 0;
// direction control
bool BUYme = false;
bool SELLme = false;
// Trade stuff
double diverge;
// bar counting
if(bartime != Time[0])
{
bartime = Time[0];
bartick++;
objtick++;
TradeAllowed = true;
}
//----
OrdersPerSymbol = 0;
for(cnt = OrdersTotal(); cnt >= 0; cnt--)
{
OrderSelect(cnt, SELECT_BY_POS, MODE_TRADES);
if(OrderSymbol() == Symbol() && OrderMagicNumber() == MagicNumber)
{
OrdersPerSymbol++;
if(OrderType() == OP_BUY)
{
OrdersBUY++;
}
if(OrderType() == OP_SELL)
{
OrdersSELL++;
}
}
}
if(OrdersPerSymbol > maxOrders)
maxOrders = OrdersPerSymbol;
//+-----------------------------+
//| Insert your indicator here |
//| And set either BUYme or |
//| SELLme true to place orders |
//+-----------------------------+
diverge = divergence(Fast_Period, Slow_Period, Fast_Price, Slow_Price, 0);
ObjectDelete("Cmmt");
ObjectCreate("Cmmt", OBJ_TEXT, 0, Time[0], High[0] + (10*p));
ObjectSetText("Cmmt","Divergence=" + DoubleToStr(diverge, 4), 10, "Arial", White);
if(diverge >= DVBuySell && diverge <= DVStayOut)
BUYme = true;
if(diverge <= (DVBuySell*(-1)) && diverge >= (DVStayOut*(-1)))
SELLme = true;
//if( diverge>=DVBuySell ) BUYme=true;
//if( diverge<=(DVBuySell*(-1)) ) SELLme=true;
//----
if(FileData)
{
tickcount++;
iFileHandle = FileOpen("iDivergence", FILE_CSV|FILE_READ|FILE_WRITE, ",");
FileSeek(iFileHandle, 0, SEEK_END);
FileWrite(iFileHandle, bartick, " ", tickcount, " ", diverge);
FileFlush(iFileHandle);
FileClose(iFileHandle);
}
//+------------+
//| End Insert |
//+------------+
//ENTRY LONG (buy, Ask)
if(TradeAllowed && BUYme)
{
//Ask(buy, long)
if(LossLimit == 0)
SL = 0;
else
SL = Ask - ((LossLimit + 7)*Point);
if(ProfitMade == 0)
TP = 0;
else
TP = Ask + ((ProfitMade + 7)*Point);
OrderSend(Symbol(), OP_BUY, Lots, Ask, Slippage, SL, TP, TradeComment, MagicNumber, White);
gle = GetLastError();
if(gle == 0)
{
Print("BUY Ask=", Ask, " bartick=", bartick);
ObjectCreate("myx" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0], High[0] + (5*p));
ObjectSetText("myx" + DoubleToStr(objtick, 0), "B", 15, "Arial", Red);
bartick = 0;
TradeAllowed = false;
}
else
{
Print("-----ERROR----- BUY Ask=", Ask, " error=", gle, " bartick=", bartick);
}
}
//ENTRY SHORT (sell, Bid)
if(TradeAllowed && SELLme )
{
//Bid (sell, short)
if(LossLimit == 0)
SL = 0;
else
SL = Bid + ((LossLimit + 7)*Point);
if(ProfitMade == 0)
TP = 0;
else
TP = Bid - ((ProfitMade + 7)*Point);
OrderSend(Symbol(), OP_SELL, Lots, Bid, Slippage, SL, TP, TradeComment, MagicNumber, Red);
gle = GetLastError();
if(gle == 0)
{
Print("SELL Bid=", Bid, " bartick=", bartick);
ObjectCreate("myx" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0], High[0] + (5*p));
ObjectSetText("myx" + DoubleToStr(objtick, 0), "S", 15, "Arial", Red);
bartick = 0;
TradeAllowed = false;
}
else
{
Print("-----ERROR----- SELL Bid=", Bid, " error=", gle, " bartick=", bartick);
}
}
//Basket profit or loss
CurrentBasket = AccountEquity() - AccountBalance();
//----
if(CurrentBasket > maxEquity)
maxEquity = CurrentBasket;
if(CurrentBasket < minEquity)
minEquity = CurrentBasket;
// actual basket closure
if(CurrentBasket >= BasketProfit || CurrentBasket <= (BasketLoss*(-1)))
{
CloseEverything();
CECount++;
}
// CLOSE order if profit target made
for(cnt = 0; cnt < OrdersTotal(); cnt++)
{
OrderSelect(cnt, SELECT_BY_POS, MODE_TRADES);
if(OrderSymbol() == Symbol() && OrderMagicNumber() == MagicNumber)
{
if(OrderType() == OP_BUY)
{
CurrentProfit = Bid - OrderOpenPrice();
// modify for break even
if(CurrentProfit >= PLBreakEven*p && OrderOpenPrice() > OrderStopLoss())
{
SL = OrderOpenPrice() + (spread*2);
TP = OrderTakeProfit();
OrderModify(OrderTicket(), OrderOpenPrice(), SL, TP, White);
gle = GetLastError();
if(gle == 0)
{
Print("MODIFY BREAKEVEN BUY Bid=", Bid, " bartick=", bartick);
ObjectCreate("myz" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0],
Low[0] - (7*p));
ObjectSetText("myz" + DoubleToStr(objtick, 0), "BE", 15, "Arial",
White);
}
else
{
Print("-----ERROR----- MODIFY BREAKEVEN BUY Bid=", Bid, " error=",
gle, " bartick=", bartick);
}
}
// modify for trailing stop
if(CurrentProfit >= TrailStop*p )
{
SL = Bid - (TrailStop*p);
TP = OrderTakeProfit();
OrderModify(OrderTicket(), OrderOpenPrice(), SL, TP, White);
gle = GetLastError();
if(gle == 0)
{
Print ("MODIFY TRAILSTOP BUY StopLoss=", SL, " bartick=",
bartick, "OrderTicket=", OrderTicket(), " CurrProfit=",
CurrentProfit);
ObjectCreate("myz" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0],
Low[0] - (7*p));
ObjectSetText("myz" + DoubleToStr(objtick, 0), "TS", 15, "Arial", White);
}
else
{
Print("-----ERROR----- MODIFY TRAILSTOP BUY Bid=",Bid," error=",gle," bartick=",bartick);
}
}
// did we make our desired BUY profit
// or did we hit the BUY LossLimit
if((ProfitMade > 0 && CurrentProfit >= (ProfitMade*p)) || (LossLimit > 0 &&
CurrentProfit <= ((LossLimit*(-1))*p)))
{
OrderClose(OrderTicket(), Lots, Bid, Slippage, White);
gle = GetLastError();
if(gle == 0)
{
Print("CLOSE BUY Bid=", Bid, " bartick=", bartick);
ObjectCreate("myz" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0],
Low[0] - (7*p));
ObjectSetText("myz" + DoubleToStr(objtick, 0), "C", 15, "Arial", White);
}
else
{
Print("-----ERROR----- CLOSE BUY Bid=", Bid, " error=", gle,
" bartick=", bartick);
}
}
} // if BUY
if(OrderType()==OP_SELL)
{
CurrentProfit = OrderOpenPrice() - Ask;
// modify for break even
if(CurrentProfit >= PLBreakEven*p && OrderOpenPrice() < OrderStopLoss())
{
SL = OrderOpenPrice() - (spread*2);
TP = OrderTakeProfit();
OrderModify(OrderTicket(), OrderOpenPrice(), SL, TP, Red);
gle = GetLastError();
if(gle == 0)
{
Print("MODIFY BREAKEVEN SELL Ask=", Ask, " bartick=", bartick);
ObjectCreate("myz" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0],
Low[0] - (7*p));
ObjectSetText("myz" + DoubleToStr(objtick, 0), "BE", 15, "Arial", Red);
}
else
{
Print("-----ERROR----- MODIFY BREAKEVEN SELL Ask=", Ask, " error=",
gle, " bartick=", bartick);
}
}
// modify for trailing stop
if(CurrentProfit >= TrailStop*p)
{
SL = Ask + (TrailStop*p);
TP = OrderTakeProfit();
OrderModify(OrderTicket(), OrderOpenPrice(), SL, TP, Red);
gle = GetLastError();
if(gle == 0)
{
Print ("MODIFY TRAILSTOP SELL StopLoss=",SL," bartick=",bartick,"OrderTicket=",OrderTicket()," CurrProfit=",CurrentProfit);
ObjectCreate("myz"+DoubleToStr(objtick,0), OBJ_TEXT, 0, Time[0], Low[0]-(7*p));
ObjectSetText("myz"+DoubleToStr(objtick,0),"TS",15,"Arial",Red);
}
else
{
Print("-----ERROR----- MODIFY TRAILSTOP SELL Ask=", Ask, " error=",
gle, " bartick=", bartick);
}
}
// did we make our desired SELL profit?
if((ProfitMade > 0 && CurrentProfit >= (ProfitMade*p)) || (LossLimit > 0 &&
CurrentProfit <= ((LossLimit*(-1))*p)))
{
OrderClose(OrderTicket(), Lots, Ask, Slippage, Red);
gle = GetLastError();
if(gle == 0)
{
Print("CLOSE SELL Ask=", Ask, " bartick=", bartick);
ObjectCreate("myz" + DoubleToStr(objtick, 0), OBJ_TEXT, 0, Time[0],
Low[0] - (7*p));
ObjectSetText("myz" + DoubleToStr(objtick, 0), "C", 15, "Arial", Red);
}
else
{
Print("-----ERROR----- CLOSE SELL Ask=", Ask, " error=", gle,
" bartick=", bartick);
}
}
} //if SELL
} // if(OrderSymbol)
} // for
} // start()
//+-----------------+
//| CloseEverything |
//+-----------------+
// Closes all OPEN and PENDING orders
int CloseEverything()
{
double myAsk;
double myBid;
int myTkt;
double myLot;
int myTyp;
//----
int i;
bool result = false;
//----
for(i = OrdersTotal(); i >= 0; i--)
{
OrderSelect(i, SELECT_BY_POS);
//----
myAsk = MarketInfo(OrderSymbol(), MODE_ASK);
myBid = MarketInfo(OrderSymbol(), MODE_BID);
myTkt = OrderTicket();
myLot = OrderLots();
myTyp = OrderType();
//----
switch(myTyp)
{
//Close opened long positions
case OP_BUY :result = OrderClose(myTkt, myLot, myBid, Slippage, Red);
CEBuy++;
break;
//Close opened short positions
case OP_SELL :result = OrderClose(myTkt, myLot, myAsk, Slippage, Red);
CESell++;
break;
//Close pending orders
case OP_BUYLIMIT :
case OP_BUYSTOP :
case OP_SELLLIMIT:
case OP_SELLSTOP :result = OrderDelete( OrderTicket() );
}
//----
if(result == false)
{
Alert("Order " , myTkt , " failed to close. Error:" , GetLastError() );
Print("Order " , myTkt , " failed to close. Error:" , GetLastError() );
Sleep(3000);
}
Sleep(1000);
CEProc++;
} //for
} // closeeverything
//+------------------------------------------------------------------+
//| |
//+------------------------------------------------------------------+
double divergence(int F_Period, int S_Period, int F_Price, int S_Price, int mypos)
{
int i;
//----
double maF1, maF2, maS1, maS2;
double dv1, dv2;
//----
maF1 = iMA(Symbol(), 0, F_Period, 0, MODE_SMA, F_Price, mypos);
maS1 = iMA(Symbol(), 0, S_Period, 0, MODE_SMA, S_Price, mypos);
dv1 = (maF1 - maS1);
maF2 = iMA(Symbol(), 0, F_Period, 0, MODE_SMA, F_Price, mypos + 1);
maS2 = iMA(Symbol(), 0, S_Period, 0, MODE_SMA, S_Price, mypos + 1);
dv2 = ((maF1 - maS1) - (maF2 - maS2));
//----
return(dv1 - dv2);
}
//+------------------------------------------------------------------+Profitability Reports
GBP/USD
Jul 2025 - Sep 2025
1.40
Total Trades
1006
Won Trades
812
Lost trades
194
Win Rate
80.72 %
Expected payoff
5.60
Gross Profit
19579.90
Gross Loss
-13942.30
Total Net Profit
5637.60
-100%
-50%
0%
50%
100%
GBP/CAD
Jul 2025 - Sep 2025
0.49
Total Trades
264
Won Trades
86
Lost trades
178
Win Rate
32.58 %
Expected payoff
-19.84
Gross Profit
4980.25
Gross Loss
-10218.08
Total Net Profit
-5237.83
-100%
-50%
0%
50%
100%
GBP/AUD
Jul 2025 - Sep 2025
1.27
Total Trades
884
Won Trades
663
Lost trades
221
Win Rate
75.00 %
Expected payoff
4.56
Gross Profit
18945.28
Gross Loss
-14917.93
Total Net Profit
4027.35
-100%
-50%
0%
50%
100%
AUD/USD
Jul 2025 - Sep 2025
0.69
Total Trades
421
Won Trades
264
Lost trades
157
Win Rate
62.71 %
Expected payoff
-9.54
Gross Profit
9050.70
Gross Loss
-13068.20
Total Net Profit
-4017.50
-100%
-50%
0%
50%
100%
USD/JPY
Jan 2025 - Jul 2025
1.06
Total Trades
25
Won Trades
15
Lost trades
10
Win Rate
60.00 %
Expected payoff
1.87
Gross Profit
818.34
Gross Loss
-771.59
Total Net Profit
46.75
-100%
-50%
0%
50%
100%
USD/CHF
Jan 2025 - Jul 2025
0.68
Total Trades
590
Won Trades
342
Lost trades
248
Win Rate
57.97 %
Expected payoff
-8.23
Gross Profit
10092.31
Gross Loss
-14945.26
Total Net Profit
-4852.95
-100%
-50%
0%
50%
100%
USD/CAD
Jan 2025 - Jul 2025
0.42
Total Trades
248
Won Trades
117
Lost trades
131
Win Rate
47.18 %
Expected payoff
-27.63
Gross Profit
4981.21
Gross Loss
-11832.47
Total Net Profit
-6851.26
-100%
-50%
0%
50%
100%
NZD/USD
Jan 2025 - Jul 2025
0.66
Total Trades
1155
Won Trades
714
Lost trades
441
Win Rate
61.82 %
Expected payoff
-8.04
Gross Profit
17626.50
Gross Loss
-26909.10
Total Net Profit
-9282.60
-100%
-50%
0%
50%
100%
GBP/USD
Jan 2025 - Jul 2025
0.43
Total Trades
69
Won Trades
30
Lost trades
39
Win Rate
43.48 %
Expected payoff
-123.75
Gross Profit
6488.90
Gross Loss
-15027.90
Total Net Profit
-8539.00
-100%
-50%
0%
50%
100%
GBP/CAD
Jan 2025 - Jul 2025
0.98
Total Trades
1865
Won Trades
1361
Lost trades
504
Win Rate
72.98 %
Expected payoff
-0.40
Gross Profit
34954.36
Gross Loss
-35697.68
Total Net Profit
-743.32
-100%
-50%
0%
50%
100%
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