This simple indicator allows you to see the curve of the difference between the values of two currency pairs.
For the MetaTrader 5 terminal
The indicator is designed to observe the processes of divergence and convergence of values of currency pairs or other trading instruments. It shows the difference between the quotes of the two selected trading instruments.
The results obtained can be used for trading on various strategies that require multi-currency analysis: statistical arbitrage, pair trading, correlation strategies, and many others.
For use, the indicator is attached to the chart of any currency pair (trading instrument). In the input parameters of the indicator, you only need to specify the names of trading instruments, the difference of quotes of which the indicator should display. The trading instruments of the chart and the instruments specified in the input parameters can be the same, or they can differ. In any case, the calculation will be performed for the instruments specified in the input parameters.
The indicator can be used both independently and in combination with other technical analysis tools.
It is possible to install two indicators on one chart at once with a different set of trading instruments.
The indicator can be used in manual trading and when creating automated trading systems.
- Instrument 1 – name of the first trading instrument (for example GBPUSD, GBPUSD_i, GBPUSD_m, etc);
- Instrument 2 – name of the second trading instrument (for example EURUSD, EURUSD_i, EURUSD_m, etc).
Please, in the input parameters indicate the exact names of the trading instruments that are on your account, with the correct set of upper and lower case letters!