A comprehensive walkthrough of every mode and feature in Nova Oscillator for MetaTrader 5.
Most oscillators show you one piece of the puzzle. You might see momentum, or volume, or overbought conditions, but rarely all of them together in a way that makes sense. Traders are forced to stack multiple indicators on their charts, each telling a slightly different story, making it difficult to identify high-conviction setups.
Nova Oscillator is an advanced oscillator matrix that combines five powerful analytical layers into a single sub-window indicator. It features Hyper Wave momentum analysis, Smart Money Flow tracking, Confluence detection, Reversal signals, and automatic Divergence identification. Whether you are a scalper looking for quick momentum shifts or a swing trader seeking high-probability reversals backed by volume, Nova Oscillator gives you a unified view of market conditions.
This guide covers every feature and parameter in detail, helping you configure the indicator for your specific trading approach and market conditions.
When you load Nova Oscillator, you will see a separate indicator window with multiple visual layers. The oscillator range is fixed between -80 and +80, with dashed reference lines at +20 and -20 to help identify overbought and oversold zones. Each component uses distinct colors and styles so you can quickly distinguish between momentum, volume flow, confluence zones, and reversal signals.
A real-time Confluence label also appears in the upper-right corner of the indicator window, showing the current market state: Strong Bull, Bull, Neutral, Bear, or Strong Bear.
The Hyper Wave is the primary momentum engine of Nova Oscillator. It produces a colored line that oscillates around zero, accompanied by a signal line and a shaded fill area between them. When the main line is above the signal line, the wave is bullish (colored green by default). When below, it turns bearish (gray by default).
Crossover Dots
Each time the main line crosses the signal line, a colored dot appears at the crossover point. Green dots indicate bullish crossovers (main crossing above signal), and gray dots indicate bearish crossovers (main crossing below signal). These dots provide clear visual entry and exit markers.
This controls the lookback period for the core momentum calculation. Lower values (5-7) make the oscillator more responsive and suitable for scalping or short-term trading. Higher values (14-21) create a smoother oscillator ideal for swing trading and filtering out noise.
Example: On a 15-minute EURUSD chart, a Main Length of 7 will react quickly to price changes, generating more crossover signals. Setting it to 14 will reduce the number of signals but each one will carry more weight.
Signal Type: SMA vs EMA
The signal line can be calculated using either SMA (Simple Moving Average) or EMA (Exponential Moving Average). SMA provides a steadier, less reactive signal line, which can help filter out false crossovers. EMA reacts faster to recent changes, which may be preferred by aggressive scalpers.
Signal Smoothing
This sets the period for the signal line calculation. A value of 2-3 keeps the signal line close to the main line, generating more crossovers. A value of 5-10 creates more separation, resulting in fewer but potentially more significant signals.
Fill Transparency
Controls the opacity of the shaded area between the main line and signal line. A value of 0 means fully opaque (solid fill), while 100 means fully transparent (no fill visible). The default of 80 provides a subtle background fill that does not obscure other elements.
The Smart Money Flow component tracks institutional money movement by analyzing volume-weighted price flow. It displays as a histogram centered on zero, with teal bars indicating positive (bullish) flow and crimson bars indicating negative (bearish) flow.
Strong Flow Areas
When the money flow exceeds its running average, a wider histogram bar highlights the strong flow zone. Teal strong bars appear when bullish flow surpasses the bull average, while crimson strong bars appear when bearish flow drops below the bear average. These strong flow areas indicate periods of heightened institutional participation.
Average Lines
Dotted average lines appear on both the bull and bear sides. The bull average (teal dotted line) shows the running average of positive flow readings, while the bear average (crimson dotted line) shows the running average of negative flow readings. When the histogram exceeds its respective average, the flow is considered strong.
This sets the lookback period for the money flow calculation. Lower values (10-20) make the flow histogram more volatile and responsive, which suits shorter timeframes and scalping. Higher values (35-55) produce a smoother flow reading, better for identifying sustained trends on higher timeframes.
Example: On a 1-hour XAUUSD chart, a Money Flow Length of 35 will show the overall institutional trend clearly. Reducing it to 15 on a 5-minute chart will capture shorter bursts of volume activity.
Money Flow Smooth
Applies additional smoothing to the raw money flow reading. Higher smoothing (6-10) filters noise and shows the true underlying flow direction. Lower smoothing (2-3) preserves more detail but may be choppy on lower timeframes.
The Confluence system is one of the most powerful features of Nova Oscillator. It combines the readings from both the Hyper Wave and Smart Money Flow to identify periods when momentum and volume agree on the market direction.
How Confluence Works
When both the Hyper Wave oscillator and the Smart Money Flow histogram are positive (above zero), a bullish confluence area appears as a teal histogram bar at the +55 level. When both are negative (below zero), a bearish confluence area appears as a crimson histogram bar at the -55 level. These visual areas make it immediately obvious when momentum and money flow are aligned.
Confluence Label
A text label in the upper-right corner of the indicator window provides real-time confluence status:
Parameters:
Tip: Confluence zones are particularly useful as trade filters. Consider only taking long trades when the label reads “Bull” or “Strong Bull,” and short trades when it reads “Bear” or “Strong Bear.”
The Reversal detection system identifies potential turning points by analyzing the relationship between volume, momentum extremes, and the money flow state. It generates two types of signals: Major and Minor.
Major Reversals
Major reversal signals appear as triangle arrows on the oscillator. An upward teal triangle at the -65 level indicates a potential major bullish reversal. A downward crimson triangle at the +65 level indicates a potential major bearish reversal. These signals occur when volume activity spikes significantly above average while the oscillator is at an extreme reading and money flow confirms the reversal direction.
Minor Reversals
Minor reversal signals appear as small circle dots on the main chart window. They indicate smaller potential turning points that meet fewer criteria than major reversals. While less reliable individually, minor reversals can serve as early warnings or confirmation signals when combined with other analysis.
This controls the sensitivity of reversal detection. Lower values (1-3) generate more reversal signals with lower thresholds, suitable for active scalping. Higher values (5-10) require stronger conditions to be met, producing fewer but higher-quality signals suitable for swing trading.
Example: With Reversal Factor set to 4 (default), major bullish reversals require the oscillator to be below -4 while volume is significantly elevated. Setting it to 8 requires the oscillator to be below -8, meaning deeper oversold conditions must be present before a reversal is flagged.
Nova Oscillator includes automatic divergence detection that draws trend lines directly on the oscillator window when price and the Hyper Wave diverge. Divergences are a classic signal of weakening momentum and potential trend reversals.
Bullish Divergence
A bullish divergence is detected when price makes a lower low but the oscillator makes a higher low. This suggests selling pressure is weakening despite continued price decline, often preceding a bullish reversal. Bullish divergence lines are drawn in DodgerBlue by default.
Bearish Divergence
A bearish divergence is detected when price makes a higher high but the oscillator makes a lower high. This indicates buying momentum is fading despite price continuing to rise, often preceding a bearish reversal. Bearish divergence lines are drawn in Crimson by default.
This sets the minimum oscillator threshold required before divergence scanning activates. At the default value of 20, the oscillator must be above +20 for bearish divergence scanning or below -20 for bullish divergence scanning. Higher values (30-40) only detect divergences at more extreme readings, which typically produces more reliable signals but fewer of them.
Example: With Divergence Sensibility set to 20, the indicator starts looking for bearish divergences anytime the oscillator is above +20. Setting it to 35 means it will only scan when the oscillator is above +35, filtering out divergences that occur in moderate zones.
Every visual component of Nova Oscillator can be independently color-customized to match your chart theme or personal preference. The indicator groups its color settings logically within each feature section.
Tip: If you use a dark chart background, the default colors work well. For light backgrounds, consider using darker shades like DarkGreen and DarkRed for better visibility.
Scalping Setup (M1-M5)
This setup maximizes responsiveness. The short Main Length and EMA signal type produce quick crossover signals. Low Money Flow Length captures short-term volume bursts, and a low Reversal Factor generates more reversal alerts for fast-paced trading.
Intraday Setup (M15-H1)
The default configuration is optimized for intraday trading. It balances signal frequency with reliability, providing clean momentum readings and meaningful reversal signals on the most popular timeframes.
Swing Trading Setup (H4-D1)
For swing trading, longer periods smooth out daily noise and focus on significant momentum shifts. The higher Reversal Factor ensures only strong reversal conditions trigger signals, and the elevated Divergence Sensibility filters for divergences at truly extreme readings.
Gold (XAUUSD) Specific Setup
Gold tends to have strong momentum moves followed by sharp reversals. A slightly shorter Money Flow Length captures gold’s characteristic volume patterns, while a moderate Reversal Factor catches the dramatic reversal points that gold is known for.
Crypto Setup (BTCUSD, ETHUSD)
Cryptocurrency markets are highly volatile with frequent momentum shifts. The EMA signal type reacts quickly to rapid changes, while a moderate Main Length prevents excessive whipsaws. Lower Money Flow Length suits crypto’s irregular volume patterns.
Example 1: Confluence-Filtered Long Entry
Look for all of the following conditions to align:
This combination means momentum is rising and institutional money is flowing in the same direction. Enter long with a stop below the recent swing low.
Example 2: Divergence Reversal Trade
When a bullish divergence line appears (price making lower lows while the oscillator makes higher lows), wait for confirmation:
The divergence identifies the setup, while the crossover and flow flip provide the trigger.
Major reversal signals that occur during “Strong Bear” confluence readings that flip to “Bull” can indicate powerful reversal opportunities.
Nova Oscillator provides professional-grade multi-dimensional market analysis in a single indicator window:
The key to success is matching the configuration to your trading style. Start with the default settings, master the interface on a demo account, then gradually customize as you develop your edge. Use the confluence label as your primary filter and let the individual components confirm your trading decisions.
