GA - Momentum Divergences

GA Momentum Divergences Script highlights Trend Strength, Overbought-Oversold Conditions, Regular-Hidden Divergences. Besides, it shows the Buying-Selling Pressure.

The practical use of any Momentum Curve helps in the comprehension of:

• Supply-Demand Absorption.
  
• Thrusts and their shortening.
  
• The reversing and the continuation of the trend.
  
• True Strength of the Trend.
  
• Price Strength.
  
• Increase and Decrease in Buying-Selling Pressure.
  

You choose which curve to show, according to your needs. There are 2 groups of curves.

Momentum Curves

• GA Momentum.
  
• Commodity Channel Index ( CCI ).
  
• Relative Strength Index ( RSI ).
  
• Stochastic %K.
  
• True Strength Indicator ( TSI ).
  

Money Flow Curves

• GA Money Flow.
  
• Chaikin Money Flow.
  
• Money Flow Index.
  

Every Curve used in this script has 0 as center. This means that RSI and Stochastic Curves wave around 0 and not around 50.


Fractal Algorithm for Pivots and Divergences

GA Momentum script highlights Divergences. This is possible by the Fractal Calculation of Pivot Points .

The sensibility of the algorithm depends on the look back and on the look forward of pivot points . This means that it does not highlight every divergence. But it marks divergences according to settings.

Besides, the interpretation of those divergences depends on the experience of the trader.

This feature has a particular use for the purpose to simplify and optimize. Besides, it is a very important feature provided by the GA Money Flow script.

Regular and Hidden Divergences highlight the weakening and strengthening of the price behavior. They give an anticipation to price changing. Besides, they enforce the judgment on the condition that marks the price continuation.

The Fractal Algorithm can also mark a Channel. This happens enveloping the Curve between its marked pivot points .

Flags and lines mark Divergences in the Curve. GA Momentum Divergences highlights Regular Divergences and Hidden Divergences.


Price and Momentum, Volume and Money Flow

The GA Momentum script works with any marketplace. It uses price variations and volume variations, according to needs and market.

Every curve available in the script is a mathematical discretization of the market. But in those marketplaces that includes the volume you can use Money Flow Curves. Where the volume is missing the Money Flow Curves return zero. In this case, a Momentum Curve is the right choice because it uses the price variations.

GA Momentum and GA Money Flow are formulas built for this script. They include several peculiarities that are a privilege of other functions. This gives a better visual impact by their practical use.

TSI Curve or RSI Curve are the right choices to replace Money Flow Curves where the volume is not available. In the same way, RSI Curve can replace the TSI Curve for the Trend Strength. Then, the RSI Curve is universal. It works on any marketplace giving a lot of information, using it in the right way.

RSI is a slow curve. It waves above and below the middle line, according to the bullish and bearish trend . This is why it incorporates the Trend Strength in its calculation.

Instead, other choices give Faster Momentum Curves that give different advantages and peculiarities. The final result and purpose do not change.

Market Conditions

Overbought and Oversold Conditions could not cause the immediate reversing of the trend. The changing occurs according to Thrusts and their shortening.

This happens by one or more rebounds in the price action. Indeed, this marks hesitation to continue the advancing or the declining of the price.

The Momentum Curve can highlight the absorption of Supply Pressure and Supporting Demand. This precedes the Climactic Point so as a Thrust during the advancing or declining of the price.

True Strength and Money Flow curves follow the trend. They show where the trend is weakening or strengthening.

When these curves rise together with the trend, this confirms the trend. Instead, when these curves hesitate, they are marking a changing.

TSI and Money Flow have advantages. They show the continuation of the trend by its positive or negative value. Besides, they show the shortening of the trend. Moreover, the curve anticipates the shortening of the thrust.

Money Flow Curves highlights the prevailing of Buying Pressure of Selling Pressure. This is possible because their formulas includes the volume . But the TSI discretization that uses prices, works giving a fair result.

This returns an unconditional conclusion. The volume has a high relevance because of the correlation between effort and result. But despite this, the mathematical discretization of the market can work without it.


Short and Long Signal Lines

The GA Momentum plots 2 extra curves to support the market momentum interpretation. They are Exponential Moving Average applied to the momentum curve.

The Short Signal Line follows the main curve and it gives the first crossing for an entry signal. Of course, this is useful only when there are the right condition for an entry point.

Instead, the Long Signal Line exists to be a trending indicator. When the main curve is approaching it, rebounds, the shortening of the thrust, can mark a changing. Following the thrust, these curves become closer and closer for some waves. This becomes better visible by the plotting of the Histogram.

The Histogram shows the difference between the main curve and the Long Signal Line. The distance between those curves becomes relevant and helpful in many circumstances. This highlights the changing in the Strength or Weakness of the trend.

Short and Long Signal Curves can have a partial plotting. This reduces the impact of those curves on screen. The script can show them only when they give a relevant visual impact for the trading practice.


Coloring

GA Momentum Script colors curve and price bars. It highlights conditions where the price is Overbought or Oversold. But it highlights also divergences with labels and colored lines.

The script plots colors on bars with extended prices. Besides, the script plots colors on bars that are the ending of divergences

GA Momentum script colors the price bars using the same criteria applied to color curves. Color used on the Curve are the same used on the price bars.

True Strength Curve and Momentum Curves color price bars. This happens for the entire Trend Strength. Then the prevailing of the Buying Pressure or Bearish Pressure is also visible on bars. This occurs by the persistent green or red colors according to Pressure and Trend.

Alerts

GA Momentum provides 2 alerts for Bearish and Bullish Signals. Both uses the crossing of Short and Long Signals in the same direction.


Note: I restrict access to the tool.


Regards

Girolamo Aloe
Founder of Profiting Me

Notas de Lançamento:

Changelog

• Changed the Calculation for the Partial Visibility of Long and Short Signal Curves.
  
• Adapted Default Parameters for the Partial Visibility of Long and Short Signal Curves to the new Formulas.
  
• Adjusted Text in the Settings Box.
  

Notas de Lançamento:

Changelog

• Added the Bollinger Bands %B mathematical function.
  
• Centered to Zero the Bollinger Bands %B.
  

Notas de Lançamento:

Changelog

- Added Moving Average Selection for Bollinger Bands %B: Exponential, Simple, Weighted.
- Added the New Partial Visibility Algorithm.

Notas de Lançamento:

Change log

- Added 2 new Alert Conditions in the Bullish Alert - 4 Alert Conditions in Total.
- Added 2 new Alert Conditions in the Bearish Alert - 4 Alert Conditions in Total.

Notas de Lançamento:

Change log

- Added the Moving Average Convergence Divergence (MADC) Curve.
- Added the Bollinger Bands Width Curve.
- Now the Bars Coloring is disabled by default.
- Cleaned and improved the Source Code.

Notas de Lançamento:

Change log

- Separated the Coloring between Bars and Oscillator.
- Oscillator Colors for Overbought and Oversold are now flat Green and flat Red.
- Now the Short Signal Line is Disabled by default.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 2.1.5.4, 200504 — girolamoaloe

- Increased the True Strength Indicator Scale.
- Increased the Short Signal Curve Length to 3.
- Increase the Short and Long Signal Curves Visibility to 6.
- Enabled By default the plotting of the Short Signal Curve.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 3.1.5.22, 200522 — girolamoaloe

- Added the Schaff Trend Cycle Indicator.
- Changed the plot of Momentum Curve.
- Changed Momentum Curve Base Color.
- Removed the overlay that caused dark Green and Red Colors in the Momentum Curve.
- Changed Long Signal Line Color.
- Changed the plot of Upper and Lower Bands.
- The Middle Line is now Better Visible.
- Increased Background Transparency.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 3.1.5.22 — 200522 — girolamoaloe

- Added the Plot of RSI and TSI Curves in Overlay.
- Added the Plot of Schaff Trend Cycle and TSI Curves in Overlay.
- Added the Plot of Schaff Trend Cycle and RSI Curves in Overlay.



Schaff Trend Cycle Indicator

Schaff Trend Cycle Indicator in Overlay on Relative Strength Index

True Strength Indicator in Overlay on Schaff Trend Cycle Indicator

True Strength Indicator in Overlay on Relative Strength Index

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 3.1.5.24, 200524 — girolamoaloe

- Improved Colors for Overlay Curves: ( TSI + RSI ), ( Schaff Cycle + TSI ), ( Schaff Cycle + RSI )

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 3.2.5.24, 200524 — girolamoaloe

- Adjusted the Script Versioning.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 3.2.5.29, 200529 — girolamoaloe

- Added 68% Probability Range to the Long Term Signal Curve as Error Boundaries.
- Changed transparency in the plotting of Long and Short Term Signal Curve.
- Select Box with Fibonacci Series to set the Long and Short Term Signal Curve Period.
- Reorganized the Setting Box.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 3.2.5.29, 200529 — girolamoaloe

- Adjusted the default value for CCI and Money Flow Length to Fibonacci Series.



Error Boundaries on Schaff Trend Cycle

Error Boundaries on True Strength Indicator

Error Boundaries on Relative Strength Index

Error Boundaries on Bollinger Bands %B

Error Boundaries on Bollinger Bands Width

Error Boundaries on Commodity Channel Index

Error Boundaries on Stochastic %K

Error Boundaries on Chaikin Money Flow

Error Boundaries on Money Flow index

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 4.2.5.30, 200530 — girolamoaloe

- Change the Overlay Algorithm.
- Normalized Curves around Bands : Bollinger Bands %B, Commodity Channel Index, Stochastic %K.
- Added Overlay Feature for Curves: Bollinger Bands %B, Commodity Channel Index, Relative Strength Index, Schaff Trend Cycle, Stochastic %K, True Strength Indicator.
- Included the Long Term Signal Curve 68% of Probability Range in calculations used for Alert Conditions.
- Tidied up code.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 4.2.6.14, 200614 — girolamoaloe

- Added the GA Functions Set - version 1.1.6.5 - This includes Mathematical Functions and the Partial Visibility Algorithm.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 4.2.6.18, 200618 — girolamoaloe

- Scaled the Schaff Trend Cycle Curve into ] 30, -30 [ with upper band 17.5 and lower band -17.5.
- Added a Color Enhancement to highlight the passing of the Selected Momentum Curve ( Schaff Trend Cycle Excluded ) inside the Volatility Range.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 4.2.6.19, 200619 — girolamoaloe

- New Feature: Added the GA Functions Set — version 1.1.6.19 — This includes Mathematical Functions and the Partial Visibility Algorithm.
- New Feature: "Select Moving Average for Signal Lines and Volatility".
- New Feature: "Standard Deviation Multiplier for Volatility Range".
- New Feature: Fibonacci Series to select Long and Short Signal Curves Partial Visibility Multiplier.
- Scaled the Schaff Trend Cycle Curve into ] 30, -30 [ with upper band 15 and lower band -15.
- Changed the calculation of Long and Short Signal Lines, and Bollinger Bands using the MA function included GA Functions Set.
- The use of the MA Function included in the GA Functions Set fixes the previous bug related to the Weighted Moving Average.
- Tidied up code.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 4.2.6.20, 200620 — girolamoaloe

- New Feature: Added the GA Functions Set — version 1.1.6.20 — This includes Mathematical Functions and the Partial Visibility Algorithm.
- Bug Fix: Schaff Trend Cycle Top and Bottom Edges Constriction, when the curve persists on the top or the bottom edge.
- Added Bands and Edges Variables for some Momentum Curves constricted into Bands and Edges.
- Removed Fibonacci Series for the Signal Lines Partial Visibility.
- Applied the New Partial Visibility Algorithm on Signal Lines.
- Tidied up code.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 5.2.6.29, 200629 — girolamoaloe

- New Feature: Added the GA Functions Set — version 1.1.6.21 — This includes Mathematical Functions and the Partial Visibility Algorithm.
- New Feature: Price Returns (Simple, Simple %, or Logarithmic). This highlights Outliers and Volatility Clusters of the Asset Returns.
- New Feature: Rolling Standard Deviation as a Non-Gaussian Distribution of Returns, correlated to Price Curve or Asset Returns. This highlights Volatility, but also Leverage Effect, Skewness, and Kurtosis of the Asset Returns.
- New Feature: "Select Momentum Curve Style", to choice the style of the curve ( ine, step line, area, histogram, columns, etc.)
- Added Conditions to exclude the plotting of Divergences on some curves.
- Tidied up code.


- Price Returns: Outliers, Volatility Clusters of the Asset Returns.
- Standard Deviation as a Non-Gaussian Distribution of Returns: Volatility, Leverage Effect, Skewness, and Kurtosis of the Asset Returns.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 6.2.7.10, 2007109 — girolamoaloe

- New Feature: Added the GA Functions Set — version 1.1.7.10 — This includes Mathematical Functions, Partial Visibility Algorithm, and Ticks Precision Algorithm.
- New Feature: Added Excess of Kurtosis Curve.
- New Feature: Added Skewness Curve.
- Added Conditions to exclude the plotting of Divergences on Kurtosis and Skewness Curves.
- Added Conditions to exclude the Overlay on Kurtosis and Skewness Curves
- Tidied up code.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 6.2.7.13, 200713 — girolamoaloe

- New Feature: Added the GA Functions Set — version 2.1.7.12 — This includes Mathematical Functions, Partial Visibility Algorithm, and Ticks Precision Algorithm.
- New Feature: Added Disclaimer in the Display Settings. When the Disclaimer is disabled, every plot function of the tool is disabled.


GA - Momentum Divergences - Financial Mathematics Features

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 6.2.7.25, 200725 — girolamoaloe

- New Feature: "Select the Curve Strength Style", to choice the style of the curve (line, step line, area, histogram, columns, etc.)
- Removed unnecessary alerts.
- Tidied up code.


GA Momentum Divergences - Time Series:

- Asset Returns.
- Asset Standard Deviation.
- Bollinger Bands %B.
- Bollinger Bands Width.
- Chaikin Money Flow-
- Commodity Channel Index.
- Excess of Kurtosis.
- GA Momentum.
- GA Money Flow
- Money Flow Index.
- Moving Average Convergence Divergence.
- Relative Strength Index.
- Schaff Trend Cycle.
- Skewness.
- Stochastic %K.
- True Strength Indicator.


GA Momentum - Some Financial Mathematics Features

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 6.2.09.03, 200903 — girolamoaloe

- Fixed a "NaN" bug in the Schaff Trend Cycle Stochastic Function.
- Adjusted Schaff Trend Cycle Wave Conditions.
- Adjusted Colors Algorithm Condtions.
- By default the Rolling Average for Signal Lines is now the Exponential Moving Average.
- By default disabled the Volatility Range for Signal Line Curve.
- BY default change from 13 to 8 the Signal Line Length.
- Tidied up code.


GA Momentum Divergences - Time Series:

- Asset Excess of Kurtosis.
- Asset Returns.
- Asset Skewness.
- Asset Standard Deviation.
- Bollinger Bands %B.
- Bollinger Bands Width.
- Chaikin Money Flow-
- Commodity Channel Index.
- GA Momentum.
- GA Money Flow
- Money Flow Index.
- Moving Average Convergence Divergence.
- Relative Strength Index.
- Schaff Trend Cycle.
- Stochastic %K.
- True Strength Indicator.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 2.06.10.09, 201009 — girolamoaloe

- New Feature: Added GA Functions Set — version 1.04.10.09 — This includes Mathematical Functions, Partial Visibility Algorithm, and Ticks Precision Algorithm.
- New Feature: "Leverage Effect", "Leverage Effect - Volatility Curve", "Leverage Effect - Volatility Curve Length".
- New Feature: Added Rolling Average True Range as another Leverage Effect Curve
- By default enabled the Probability Density Area on Long Term Signal Line.
- By default disabled Momentum Curve Strength (Histogram).
- Tidied up code.


GA Momentum Divergences - Time Series:

- Asset Excess of Kurtosis.
- Asset Returns.
- Asset Skewness.
- Asset Standard Deviation.
- Bollinger Bands %B.
- Bollinger Bands Width.
- Chaikin Money Flow-
- Commodity Channel Index.
- GA Momentum.
- GA Money Flow
- Money Flow Index.
- Moving Average Convergence Divergence.
- Relative Strength Index.
- Schaff Trend Cycle.
- Stochastic %K.
- True Strength Indicator.


GA Momentum - Some Financial Mathematics Features

Notas de Lançamento:

Change log

GA - Momentum Divergences
— version 2.06.10.11, 201011 — girolamoaloe

- Fixed the hiding of Upper and Lower Bands on indicators where they are not necessary.
- Removed Middle Line on Bollinger Bands Width and Leverage Effect Curves.


GA Momentum Divergences - Time Series:

- Asset Excess of Kurtosis.
- Asset Returns.
- Asset Skewness.
- Asset Leverage Effect.
- Bollinger Bands %B.
- Bollinger Bands Width.
- Chaikin Money Flow.
- Commodity Channel Index.
- GA Momentum.
- GA Money Flow
- Money Flow Index.
- Moving Average Convergence Divergence.
- Relative Strength Index.
- Schaff Trend Cycle.
- Stochastic %K.
- True Strength Indicator.

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 2.06.10.15, 201015 — girolamoaloe

- New Feature: Added GA Functions Set — version 1.04.10.15 — This includes Mathematical Functions, Partial Visibility Algorithm, and Ticks Precision Algorithm.
- Temporarily Removed the Selection of Momentum Curve Line Style.
- Temporarily Removed the Selection of Strength Curve Line Style.
- Adjusted Conditions to Remove the Middle Line on Bollinger Bands Width and Asset Leverage Effect Curves, considering also the Strength Curve.
- Tidied up code.


GA Momentum Divergences - Time Series:

- Asset Excess of Kurtosis.
- Asset Returns.
- Asset Skewness.
- Asset Leverage Effect.
- Bollinger Bands %B.
- Bollinger Bands Width.
- Chaikin Money Flow.
- Commodity Channel Index.
- GA Momentum.
- GA Money Flow
- Money Flow Index.
- Moving Average Convergence Divergence.
- Relative Strength Index.
- Schaff Trend Cycle.
- Stochastic %K.
- True Strength Indicator.


GA Momentum - Some Financial Mathematics Features

Notas de Lançamento:

Change Log

GA - Momentum Divergences
— version 2.06.10.16, 201016 — girolamoaloe

- New Feature: Added GA Functions Set — version 1.05.10.16 — This includes Mathematical Functions, Partial Visibility Algorithm, and Ticks Precision Algorithm.
- Added Awesome Oscillator.
- Tidied up code.


GA Momentum Divergences - Time Series:

- Asset Excess of Kurtosis.
- Asset Returns.
- Asset Skewness.
- Asset Leverage Effect.
- Awesome Oscillator.
- Bollinger Bands %B.
- Bollinger Bands Width.
- Chaikin Money Flow.
- Commodity Channel Index.
- GA Momentum.
- GA Money Flow
- Money Flow Index.
- Moving Average Convergence Divergence.
- Relative Strength Index.
- Schaff Trend Cycle.
- Stochastic %K.
- True Strength Indicator.


GA Momentum - Some Financial Mathematics Features