FX5 MACD Divergence- Vertex FX Indicator

FX5_MACD_Divergence_V1_1 is a powerful VertexFX client side VTL indicator that gives precise entry and exit signals based upon divergence in MACD and price of the instrument.
The MACD indicator can be used as a trend or a momentum indicator. By using divergence we re-inforce the strength of the trend and uncover any weaknesses. The idea behind this indicator is to find channels during which the price makes a new swing high or a new swing low, but the corresponding MACD is either sideways or moving in the opposite direction. In other words, the divergence is a signal that the direction of the trend is about to change, or has changed.
In the first step, we calculate the MACD indicator based upon the MACD_FAST and MACD_SLOW period.
The difference between these two is the Magenta line.
In the next step, we calculate the signal (BLUE) which is the moving average of the Magenta line based on the MACD_SIGNAL period.
When the price makes a new swing High, but the MACD indicator (Magenta) is moving downwards, a negative divergence is detected, and a SELL signal is triggered.
When the price makes a new Swing Low, but the MACD indicator (Magenta) is moving upwards, a position divergence is detected, and a BUY signal is triggered.

BUY - Enter BUY trade when a BUY (GREEN) arrow is displayed on the indicator at the close of the candle. Do not open BUY trade if candle has gap-up opening.
SELL - Enter SELL trade when a SELL (RED) arrow is displayed on the indicator at the close of the candle. Do not open SELL trade if candle has gap-down opening.