Confluence Divergence Trader

Confluence Divergence Trader

CONFLUENCE DIVERGENCE TRADER

Confluence Divergence Trader identifies high-probability reversal setups by combining RSI divergence detection with a weighted multi-factor confluence scoring system — ensuring the EA only trades when the market context genuinely supports the signal.

HOW IT WORKS

The EA follows a strict step-by-step decision flowchart:

1. RSI DIVERGENCE DETECTED Scans for classic bullish and bearish divergence between price pivots and RSI values over a configurable lookback period.
2. OVERBOUGHT / OVERSOLD FILTER Divergence is only considered valid when RSI is in an extreme zone (default: above 70 or below 30), filtering out weak mid-range signals.
3. WEIGHTED CONFLUENCE SCORING Each confirmed factor adds to a weighted score: Factor Weight Supply / Demand Zone 2 Fibonacci Retracement 1 Price Structure 2 Rejection Price Action 3 ← Most Important Maximum Possible Score 8 A minimum score threshold (default: 3) must be met before proceeding. This allows flexible combinations:
   • Rejection PA alone (3) qualifies
   • S/D Zone + Fibonacci (2+1) qualifies
   • S/D Zone alone (2) does not qualify All weights and the minimum score are fully configurable.
4. RISK : REWARD VALIDATION A valid trade setup is calculated with SL placed at the divergence swing point. The trade only proceeds if the resulting R:R meets the minimum ratio (default 1:2).
5. TRADE EXECUTION Market order placed with fixed lot size, SL and TP. All levels are drawn on the chart with pip distances labeled.
   

• RSI divergence detection with configurable pivot strength and lookback
• Weighted confluence scoring system (fully adjustable weights)
• Supply and demand zone detection
• Fibonacci retracement level alignment (61.8% and 78.6%)
• Price structure analysis (higher lows / lower highs)
• Rejection candle detection (pin bars and engulfing patterns)
• Real-time overlay dashboard showing all conditions and scores
• SL/TP levels drawn on chart with entry, stop and target labels
• Magic number isolation — safe to run multiple instances simultaneously
• Configurable minimum R:R ratio, lot size, and max open trades
• New bar execution mode to avoid repainting on open candles
• Visual alerts on signal detection 

DASHBOARD

The built-in overlay dashboard displays in real time:

• Current trading status through each step of the flowchart
• RSI value and zone
• Divergence type and RSI pivot values
• Weighted confluence score and individual factor breakdown
• Proposed entry, SL, and TP levels with R:R ratio
• EA-specific open trades, volume and floating P/L (magic number filtered)
• Account balance and equity 

INPUTS SUMMARY

RSI Settings       Period, applied price, OB/OS levels

Divergence         Lookback bars, pivot strength, min divergence %

Confluence         Min score, enable/disable each factor, weights

Risk Management    R:R ratio, fixed lot size, SL buffer, max trades

Trade Settings     Magic number, comment, new bar mode

Visuals            Divergence lines, S/D zones, dashboard colours and position

RECOMMENDED SETTINGS

Timeframe    H1 or H4

Symbols      Any — Forex majors, indices, gold

Min Score    3 (default) — increase to 5+ for stricter filtering

R:R Ratio    1:2 (default)

MULTI-EA USAGE

Each instance uses its own magic number. Position counting, floating 

P/L and trade limits are all isolated per instance. Safe to attach 

to multiple charts simultaneously.