OPEN-SOURCE SCRIPT

MACD Leader [ChuckBanger]

MACD makes use of moving averages and therefor usually lags behind the price. It is possible to eliminate lag completely but the work around of this is usually by adding a component of the price/MA difference back to MA. This technique is called Zero-lag. It is not zero lag but it is close enough. "MACD Leader" makes use of this to form a leading signal to MACD.

First proposed by Giorgos E. Siligardos, "Leader" leads normal MACD , especially when significant trend changes are about to take place. This has the following features:
- It is similar to MACD in smoothness.
- It can be plotted along with MACD in the same window using the same scaling.
- It has the ability to lead MACD at critical situations

For detailed discussion on the various divergence patterns, refer to the PDF here: drive.google.com/file/d/1Nr7kfZJ3pwM1meI8qzVBnpjLgzYZUHH1/view?usp=sharing

This script provide an option to plot MACD and MACD leader signal on the same pane. You can enable/disable them how you want via options page. It also has the option to change to different MA types.