Price Divergence Entries Confirmed by the Murrey Math Oscillator

Summary

This strategy looks for regular or hidden divergence between price swing points and a selectable indicator, including RSI, MACD, Stochastics, volume, accumulation/distribution, Fisher, or CCI. Fractal highs and lows identify candidate pivots. A Murrey Math oscillator, derived from a Donchian range, then acts as a directional filter: bullish divergence is paired with a positive oscillator region for long entries, and bearish divergence with a negative region for shorts. Positions close when the oscillator crosses its midpoint.

The source allows users to choose the indicator and minimum oscillator quadrant, and includes optional fixed profit, fixed loss, and trailing exit inputs. The published BTC/USDT futures configuration spans about a month on a two-hour strategy period, but the document provides no results or trade statistics. Divergence can be false or late, and fractal pivots require subsequent bars for confirmation. The write-up also warns that parameter choices, volatility-related trading frequency, slippage, and position concentration affect outcomes; it offers risk controls as suggestions rather than evidence of achieved performance.

Key ideas

• Fractal swing points are compared with indicator values to identify regular and hidden divergence.
• The method offers several indicator choices, including RSI, MACD, Stochastics, volume, and CCI.
• The Murrey Math oscillator filters divergence entries by direction and closes positions at its midpoint.
• Fixed profit, fixed loss, and trailing exits are configurable in the source.
• The document supplies backtest settings but no performance evidence, and divergence signals can be false or delayed.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.