I am kind of confused on whether the MACD line or MACD histogram is used for the divergence indicator against the price. Can someone shed some light on this? Thanks,
You can use the MACD lines or the histograms, and you can use any oscillator to find divergence. How effective each one is, is a different matter.
a few programs have indicators for them that'll indicate divergence signals on the price chart and macd indicator attached illustrates one for MetaTrader 4 on a 60m of the eurusd MACD Histogram also GMACD and GMACD Signals