Traders’ Tips by Technical Analysis, Inc.
• TRADESTATION: DIVERGENCE BIAS
Giorgos Siligardos’ article “Divergence Bias” describes
alternative methods of calculating two of the most popular
trend indicators, momentum and moving average convergence/
divergence (MACD). The two indicators from his article are
presented here as fractional momentum and fractional MACD.
The code for both indicators is provided here. All four
indicators are shown in Figure 1. In addition, the built-in zigzag%
indicator is used on the price plot to show an idealized