Significant Volume with Price Changes HighlightedSignificant Volume with Price Changes Highlighted
The "Significant Volume with Price Changes Highlighted" indicator by PappyTrading is a powerful tool designed to help traders identify significant volume spikes and price changes in the market. This indicator overlays the volume bars on the price chart and highlights them based on specific volume and price change conditions, providing a clear visual representation of market activity.
What It Does
This indicator calculates the moving average of the volume over a specified period and compares the current volume to this average. It also calculates the daily percentage change relative to the previous day's close and compares this to its moving average. The volume bars are then color-coded based on the following conditions:
Bright Green (#089981): Indicates a significant volume spike with an above-average price increase.
Bright Red (#f23645): Indicates a significant volume spike with an above-average price decrease.
Green with 60% transparency: Indicates a normal up day with a price increase but not a significant volume spike.
Red with 60% transparency: Indicates a normal down day with a price decrease but not a significant volume spike.
Additionally, the indicator plots a 20-period simple moving average (SMA) of the volume, providing a reference point to understand the general volume trend.
How It Works
Volume Calculation:
The indicator calculates the 20-period SMA of the volume and compares the current volume to this average to determine if there is a significant volume spike.
Price Change Calculation:
The indicator calculates the daily percentage change in price relative to the previous day's close and compares this to the 20-period SMA of the percentage change to identify significant price movements.
Color Coding:
The volume bars are color-coded based on the combination of the volume and price change conditions. This visual representation allows traders to quickly identify significant market activities.
How to Use It
Overlay on Chart:
Add the "Significant Volume with Price Changes Highlighted" indicator to your chart. The volume bars will be displayed at the bottom of the chart, color-coded based on the conditions described above.
Identify Market Activity:
Use the color-coded volume bars to identify significant market activities. Bright green bars indicate strong buying pressure, while bright red bars indicate strong selling pressure. Transparent green and red bars indicate normal market activity without significant volume spikes.
Volume Moving Average:
The blue line represents the 20-period SMA of the volume. Use this as a reference to understand the general volume trend and identify deviations from the average.
Concepts Underlying the Calculations
Volume Spikes: Significant volume spikes often precede or accompany major market moves. By highlighting these spikes, traders can gain insights into potential market turning points or continuation patterns.
Price Changes: Large price changes relative to the previous day's close indicate strong market momentum. By comparing these changes to their moving average, the indicator helps traders identify unusually strong buying or selling pressure.
This indicator is ideal for traders who want to gain a deeper understanding of market dynamics by analyzing volume and price changes together. It is suitable for various trading styles, including trend following, swing trading, and scalping.
Pesquisar nos scripts por "Volume"
Volume and Price Z-Score [Multi-Asset] - By LeviathanThis script offers in-depth Z-Score analytics on price and volume for 200 symbols. Utilizing visualizations such as scatter plots, histograms, and heatmaps, it enables traders to uncover potential trade opportunities, discern market dynamics, pinpoint outliers, delve into the relationship between price and volume, and much more.
A Z-Score is a statistical measurement indicating the number of standard deviations a data point deviates from the dataset's mean. Essentially, it provides insight into a value's relative position within a group of values (mean).
- A Z-Score of zero means the data point is exactly at the mean.
- A positive Z-Score indicates the data point is above the mean.
- A negative Z-Score indicates the data point is below the mean.
For instance, a Z-Score of 1 indicates that the data point is 1 standard deviation above the mean, while a Z-Score of -1 indicates that the data point is 1 standard deviation below the mean. In simple terms, the more extreme the Z-Score of a data point, the more “unusual” it is within a larger context.
If data is normally distributed, the following properties can be observed:
- About 68% of the data will lie within ±1 standard deviation (z-score between -1 and 1).
- About 95% will lie within ±2 standard deviations (z-score between -2 and 2).
- About 99.7% will lie within ±3 standard deviations (z-score between -3 and 3).
Datasets like price and volume (in this context) are most often not normally distributed. While the interpretation in terms of percentage of data lying within certain ranges of z-scores (like the ones mentioned above) won't hold, the z-score can still be a useful measure of how "unusual" a data point is relative to the mean.
The aim of this indicator is to offer a unique way of screening the market for trading opportunities by conveniently visualizing where current volume and price activity stands in relation to the average. It also offers features to observe the convergent/divergent relationships between asset’s price movement and volume, observe a single symbol’s activity compared to the wider market activity and much more.
Here is an overview of a few important settings.
Z-SCORE TYPE
◽️ Z-Score Type: Current Z-Score
Calculates the z-score by comparing current bar’s price and volume data to the mean (moving average with any custom length, default is 20 bars). This indicates how much the current bar’s price and volume data deviates from the average over the specified period. A positive z-score suggests that the current bar's price or volume is above the mean of the last 20 bars (or the custom length set by the user), while a negative z-score means it's below that mean.
Example: Consider an asset whose current price and volume both show deviations from their 20-bar averages. If the price's Z-Score is +1.5 and the volume's Z-Score is +2.0, it means the asset's price is 1.5 standard deviations above its average, and its trading volume is 2 standard deviations above its average. This might suggest a significant upward move with strong trading activity.
◽️ Z-Score Type: Average Z-Score
Calculates the custom-length average of symbol's z-score. Think of it as a smoothed version of the Current Z-Score. Instead of just looking at the z-score calculated on the latest bar, it considers the average behavior over the last few bars. By doing this, it helps reduce sudden jumps and gives a clearer, steadier view of the market.
Example: Instead of a single bar, imagine the average price and volume of an asset over the last 5 bars. If the price's 5-bar average Z-Score is +1.0 and the volume's is +1.5, it tells us that, over these recent bars, both the price and volume have been consistently above their longer-term averages, indicating sustained increase.
◽️ Z-Score Type: Relative Z-Score
Calculates a relative z-score by comparing symbol’s current bar z-score to the mean (average z-score of all symbols in the group). This is essentially a z-score of a z-score, and it helps in understanding how a particular symbol's activity stands out not just in its own historical context, but also in relation to the broader set of symbols being analyzed. In other words, while the primary z-score tells you how unusual a bar's activity is for that specific symbol, the relative z-score informs you how that "unusualness" ranks when compared to the entire group's deviations. This can be particularly useful in identifying symbols that are outliers even among outliers, indicating exceptionally unique behaviors or opportunities.
Example: If one asset's price Z-Score is +2.5 and volume Z-Score is +3.0, but the group's average Z-Scores are +0.5 for price and +1.0 for volume, this asset’s Relative Z-Score would be high and therefore stand out. This means that asset's price and volume activities are notably high, not just by its own standards, but also when compared to other symbols in the group.
DISPLAY TYPE
◽️ Display Type: Scatter Plot
The Scatter Plot is a visual tool designed to represent values for two variables, in this case the Z-Scores of price and volume for multiple symbols. Each symbol has it's own dot with x and y coordinates:
X-Axis: Represents the Z-Score of price. A symbol further to the right indicates a higher positive deviation in its price from its average, while a symbol to the left indicates a negative deviation.
Y-Axis: Represents the Z-Score of volume. A symbol positioned higher up on the plot suggests a higher positive deviation in its trading volume from its average, while one lower down indicates a negative deviation.
Here are some guideline insights of plot positioning:
- Top-Right Quadrant (High Volume-High Price): Symbols in this quadrant indicate a scenario where both the trading volume and price are higher than their respective mean.
- Top-Left Quadrant (High Volume-Low Price): Symbols here reflect high trading volumes but prices lower than the mean.
- Bottom-Left Quadrant (Low Volume-Low Price): Assets in this quadrant have both low trading volume and price compared to their mean.
- Bottom-Right Quadrant (Low Volume-High Price): Symbols positioned here have prices that are higher than their mean, but the trading volume is low compared to the mean.
The plot also integrates a set of concentric squares which serve as visual guides:
- 1st Square (1SD): Encapsulates symbols that have Z-Scores within ±1 standard deviation for both price and volume. Symbols within this square are typically considered to be displaying normal behavior or within expected range.
- 2nd Square (2SD): Encapsulates those with Z-Scores within ±2 standard deviations. Symbols within this boundary, but outside the 1 SD square, indicate a moderate deviation from the norm.
- 3rd Square (3SD): Represents symbols with Z-Scores within ±3 standard deviations. Any symbol outside this square is deemed to be a significant outlier, exhibiting extreme behavior in terms of either its price, its volume, or both.
By assessing the position of symbols relative to these squares, traders can swiftly identify which assets are behaving typically and which are showing unusual activity. This visualization simplifies the process of spotting potential outliers or unique trading opportunities within the market. The farther a symbol is from the center, the more it deviates from its typical behavior.
◽️ Display Type: Columns
In this visualization, z-scores are represented using columns, where each symbol is presented horizontally. Each symbol has two distinct nodes:
- Left Node: Represents the z-score of volume.
- Right Node: Represents the z-score of price.
The height of these nodes can vary along the y-axis between -4 and 4, based on the z-score value:
- Large Positive Columns: Signify a high or positive z-score, indicating that the price or volume is significantly above its average.
- Large Negative Columns: Represent a low or negative z-score, suggesting that the price or volume is considerably below its average.
- Short Columns Near 0: Indicate that the price or volume is close to its mean, showcasing minimal deviation.
This columnar representation provides a clear, intuitive view of how each symbol's price and volume deviate from their respective averages.
◽️ Display Type: Circles
In this visualization style, z-scores are depicted using circles. Each symbol is horizontally aligned and represented by:
- Solid Circle: Represents the z-score of price.
- Transparent Circle: Represents the z-score of volume.
The vertical position of these circles on the y-axis ranges between -4 and 4, reflecting the z-score value:
- Circles Near the Top: Indicate a high or positive z-score, suggesting the price or volume is well above its average.
- Circles Near the Bottom: Represent a low or negative z-score, pointing to the price or volume being notably below its average.
- Circles Around the Midline (0): Highlight that the price or volume is close to its mean, with minimal deviation.
◽️ Display Type: Delta Columns
There's also an option to utilize Z-Score Delta Columns. For each symbol, a single column is presented, depicting the difference between the z-score of price and the z-score of volume.
The z-score delta essentially captures the disparity between how much the price and volume deviate from their respective mean:
- Positive Delta: Indicates that the z-score of price is greater than the z-score of volume. This suggests that the price has deviated more from its average than the volume has from its own average. Such a scenario could point to price movements being more significant or pronounced compared to the changes in volume.
- Negative Delta: Represents that the z-score of volume is higher than the z-score of price. This might mean that there are substantial volume changes, yet the price hasn't moved as dramatically. This can be indicative of potential build-up in trading interest without an equivalent impact on price.
- Delta Close to 0: Means that the z-scores for price and volume are almost equal, indicating their deviations from the average are in sync.
◽️ Display Type: Z-Volume/Z-Price Heatmap
This visualization offers a heatmap either for volume z-scores or price z-scores across all symbols. Here's how it's presented:
Each symbol is allocated its own horizontal row. Within this row, bar-by-bar data is displayed using a color gradient to represent the z-score values. The heatmap employs a user-defined gradient scale, where a chosen "cold" color represents low z-scores and a chosen "hot" color signifies high z-scores. As the z-score increases or decreases, the colors transition smoothly along this gradient, providing an intuitive visual indication of the z-score's magnitude.
- Cold Colors: Indicate values significantly below the mean (negative z-score)
- Mild Colors: Represent values close to the mean, suggesting minimal deviation.
- Hot Colors: Indicate values significantly above the mean (positive z-score)
This heatmap format provides a rapid, visually impactful means to discern how each symbol's price or volume is behaving relative to its average. The color-coded rows allow you to quickly spot outliers.
VOLUME TYPE
The "Volume Type" input allows you to choose the nature of volume data that will be factored into the volume z-score calculation. The interpretation of indicator’s data changes based on this input. You can opt between:
- Volume (Regular Volume): This is the classic measure of trading volume, which represents the volume traded in a given time period - bar.
- OBV (On-Balance Volume): OBV is a momentum indicator that accumulates volume on up bars and subtracts it on down bars, making it a cumulative indicator that sort of measures buying and selling pressure.
Interpretation Implications:
- For Volume Type: Regular Volume:
Positive Z-Score: Indicates that the trading volume is above its average, meaning there's unusually high trading activity .
Negative Z-Score: Suggests that the trading volume is below its average, signifying unusually low trading activity.
- For Volume Type: OBV:
Positive Z-Score: Signifies that “buying pressure” is above its average.
Negative Z-Score: Signifies that “selling pressure” is above its average.
When comparing Z-Score of OBV to Z-Score of price, we can observe several scenarios. If Z-Price and Z-Volume are convergent (have similar z-scores), we can say that the directional price movement is supported by volume. If Z-Price and Z-Volume are divergent (have very different z-scores or one of them being zero), it suggests a potential misalignment between price movement and volume support, which might hint at possible reversals or weakness.
Volumetric Toolkit [LuxAlgo]The Volumetric Toolkit is a complete and comprehensive set of tools that display price action-related analysis methods from volume data.
A total of 4 features are included within the toolkit. Symbols that do not include volume data will not be supported by the script.
🔶 USAGE
The volumetric toolkit puts a heavy focus on price action, returning support/resistance levels, ranges, volume divergences...etc.
The main premise between each feature is that volume has a direct relationship with market participants level of interest over a specific symbol, and that this interest is not constant over time.
Each individual feature is detailed below.
🔹 Ranges Of Interest
The Ranges Of Interest construct a range from a surge of high liquidity in the market. This range is constructed from the price high and price low of the candle with the associated significant liquidity.
The returned extremities can be used as support and resistance, with breakouts often being accompanied by significant liquidity as well, suggesting potential trend continuations.
The length setting associated with this feature determines how sensitive the range detection algorithm is to volume, with higher values requiring more significant volume in order to display a new range.
🔹 Impulses
Impulses highlight times when volume makes a new higher high while the price makes a new higher high or lower low, suggesting increased market participation.
When this occurs when the price makes a new higher high the impulse is considered bullish (green), if the price makes a new lower low the impulse is bearish (red).
Impulses occurring within an established trend opposite to it (e.g a bearish impulse on an uptrend) might be indicative of reversals.
The length setting works similarly to the previously described ranges of interest, with higher values requiring longer-term volume higher high and price higher high/lower low, highlighting more significant impulse and potentially longer-term reversals.
🔹 Levels Of Interest
Levels of interest display price levels of significant trading activity, contrary to the range of interest only the closing price is taken into account, also volume peaks are used to detect significant trading activity.
Note that this feature is subject to backpainting, that is lines are set retrospectively.
Users can determine the amount of most recent levels to display on the chart. These can be used as classical support/resistances.
🔹 Volume Divergence
We define volume divergence as a decreased market participation while a trend is still developing.
More precisely volume divergences are highlighted if volume makes a lower high while price is making a new higher high/lower low.
This can be indicative of a lack of further participation in the current trend, indicating a potential reversal.
Using higher length values will return longer-term divergences.
Note that this feature is subject to backpainting, that is lines are set retrospectively.
🔶 SETTINGS
🔹 Ranges Of Interest
Show Ranges Of Interest: Display Ranges Of Interest.
Length: Ranges Of Interest sensitivity to volume.
🔹 Impulses
Show Impulses: Display Ranges Of Interest.
Length: Impulses sensitivity to volume.
🔹 Levels Of Interest
Show: Determine if Levels Of Interest are displayed, and how many from the most recent.
Length: Level detection sensitivity to volume.
🔹 Volume Divergences
Show Divergences: Determine if Volume Divergences are displayed.
Length: Period for the detection of price tops/bottoms and volume peaks.
Volume Channel - [With Volume Filter]The indicator calculates two volume-weighted moving averages (VWMA) using different lengths, and filters them based on a moving average of volume. The filtered VWMA values are then plotted on the chart as lines, representing the fast and slow moving averages. In addition, upper and lower bands are calculated based on the slow VWMA and plotted as lines on the chart.
The fast and slow VWMA lines can be used to identify trends in the market. When the fast VWMA is above the slow VWMA, it is an indication of an uptrend, and when the fast VWMA is below the slow VWMA, it is an indication of a downtrend. The position of the VWMA lines relative to the upper and lower bands can also be used to identify potential trade signals.
When the price is near the upper band, it indicates that the market is overbought, and when the price is near the lower band, it indicates that the market is oversold. Traders can use these signals to enter or exit trades.
The indicator also includes a volume filter, which means that the VWMA values are only calculated when the volume is above a certain moving average of volume. This helps to filter out noise in the market and provide more accurate signals.
Explanation for each parameter
vwmaLength1: This is the length of the fast volume-weighted moving average (VWMA) used in the calculation. The default value is 10, and it can be adjusted by the user.
vwmaLength2: This is the length of the slow volume-weighted moving average (VWMA) used in the calculation. The default value is 25, and it can be adjusted by the user.
bandLength: This is the length of the moving average used to calculate the upper and lower bands. The default value is 34, and it is not adjustable by the user.
volumeFilterLength: This is the length of the moving average of volume used as a filter for the VWMA calculation. The default value is 5, and it can be adjusted by the user.
src: This is the input source for the VWMA calculation. The default value is close, which means the indicator is using the closing price of each bar. However, the user can select a different input source by changing this parameter.
filteredVwma1: This is the filtered VWMA calculated based on the volume filter and the fast VWMA length. It is plotted as a line on the chart and can be used to identify short-term trends.
filteredVwma2: This is the filtered VWMA calculated based on the volume filter and the slow VWMA length. It is plotted as a line on the chart and can be used to identify long-term trends.
ma: This is the moving average of the filtered slow VWMA values, which is used to calculate the upper and lower bands. It is plotted as a line on the chart.
offs: This is the offset used to calculate the upper and lower bands. It is based on the standard deviation of the filtered slow VWMA values and is multiplied by 1.6185 * 3. It is plotted as a line on the chart.
up: This is the upper band calculated as the moving average plus the offset. It is plotted as a line on the chart and can be used to identify overbought conditions.
dn: This is the lower band calculated as the moving average minus the offset. It is plotted as a line on the chart and can be used to identify oversold conditions.
Balanced Delta Volume Profile (Zeiierman)█ Overview
Balanced Delta Volume Profile (Zeiierman) builds a vertical, price-by-price profile that blends total participation with balance quality. Instead of plotting raw volume alone, it weights each price bin by:
how balanced buyers vs. sellers were,
how compressed price was inside that bin,
how often price revisited it.
The result spotlights fair value and acceptance zones while still revealing momentum/imbalance areas—ideal for reading rotation vs. trend, continuation vs. exhaustion, and the prices that truly matter.
Highlights
Balanced score that fuses delta symmetry, price compression, and hit frequency.
Optional heat spectrum for instant read of participation density and balance strength.
POC-like auto highlight of the dominant price level within the lookback window.
Works across timeframes for session profiling, swing context, or regime shifts.
█ How It Works
⚪ Profile Construction
The script scans a fixed History Length and divides the full high–low span into Bin Count price bins. For every bar in the window, its volume is proportionally distributed across the bins it overlaps, so wide-range bars contribute across multiple bins, while narrow bars concentrate where they traded most. This yields per-bin totals for:
Total Volume (participation)
Positive / Negative Volume (up vs. down bar contribution)
Hit Count (how often price touched the bin)
Average Price Range (mean bar range inside the bin; a proxy for compression)
⚪ Delta & Direction
For each bin, delta symmetry is measured via the ratio of |pos − neg| to total volume. Bins with balanced two-sided flow score higher than one-sided, runaway bins. This curbs the tendency of raw volume profiles to over-reward impulsive bursts.
⚪ Balance Score
Each price bin gets a balance score that multiplies three normalized components:
Delta Balance: rewards bins where buy/sell pressure is symmetrical (configurable via Volume Momentum Weight).
Price Compression: rewards bins where average bar range is relatively small (configurable via Price Momentum Weight).
Durability: rewards bins revisited often (configurable via Hits Weight).
A Min Hits Filter removes flimsy, single-touch bins from dominating the score. The profile can display pure totals or Average Mode (Vol/Hit) to compare bins fairly when hit counts differ.
⚪ Display & Heat Spectrum
The final plotted bar length per bin is the display volume (total or average) weighted by the balance score and normalized to 100.
POC-like Highlight: The 100% bin is outlined (and labeled) when Highlight Max Volume Bin is ON.
Heat Spectrum (optional): A background gradient scales with normalized bar length and balance hue.
Balance Hue: Interpolates between Balance Low/High Colors so high-balance bins visually pop as “accepted value.”
█ How to Use
The profile is effectively a map of price acceptance:
High, bright bars = strong participation at balanced prices → fair value/rotation zones.
Thin, muted bars = poor acceptance → imbalance or transition areas.
POC-style level = most influential price in the lookback window.
⚪ Find Fair Value & Acceptance
Thick, high-balance bins mark value. Expect rotation: price often revisits or oscillates around these areas. They’re prime zones for mean-reversion fades, scale-ins, and risk-defined trades against the edges.
⚪ Identify Imbalance & Funnels
Low-balance, low-hit bins often act like air pockets—price can move through them quickly. These zones are helpful for continuation trades into thin areas or for timing breakout pulls back into acceptance.
⚪ POC Dynamics
When price leaves the POC and returns, watch for re-acceptance (price comes back into the POC or high-balance zone and stays there.) vs. rejection (trend continuation away from value). The auto-highlight makes this quick to judge.
█ Settings
History Length – Bars scanned for the profile. Longer = broader context, slower to adapt.
Bin Count – Vertical resolution of bins between the window’s min and max price.
Display Shift – Offsets the rendering rightward for clarity.
Average Mode (Vol/Hit) – ON uses average volume per visit; OFF uses total volume.
Volume Momentum Weight – Emphasizes two-way flow; higher values favor balanced bins over one-sided deltas.
Price Momentum Weight – Emphasizes compression; higher values favor narrow-range, coiling price action.
Hits Weight – Rewards bins revisited often; higher values favor durable acceptance.
Min Hits Filter – Minimum visits a bin needs to qualify for the balance score.
Show Heat Spectrum – Background gradient for quick read of density and balance.
Highlight Max Volume Bin – Outline + raw volume label for the dominant bin.
Max Volume Color – Color used for that highlight.
Balance Low/High Colors – Gradient endpoints for balance hue across the profile.
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Disclaimer
The content provided in my scripts, indicators, ideas, algorithms, and systems is for educational and informational purposes only. It does not constitute financial advice, investment recommendations, or a solicitation to buy or sell any financial instruments. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
Nef33-Volume Footprint ApproximationDescription of the "Volume Footprint Approximation" Indicator
Purpose
The "Volume Footprint Approximation" indicator is a tool designed to assist traders in analyzing market volume dynamics and anticipating potential trend changes in price. It is inspired by the concept of a volume footprint chart, which visualizes the distribution of trading volume across different price levels. However, since TradingView does not provide detailed intrabar data for all users, this indicator approximates the behavior of a footprint chart by using available volume and price data (open, close, volume) to classify volume as buy or sell, calculate volume delta, detect imbalances, and generate trend change signals.
The indicator is particularly useful for identifying areas of high buying or selling activity, imbalances between supply and demand, delta divergences, and potential reversal points in the market. It provides specific signals for bullish and bearish trend changes, making it suitable for traders looking to trade reversals or confirm trends.
How It Works
The indicator uses volume and price data from each candlestick to perform the following calculations:
Volume Classification:
Classifies the volume of each candlestick as "buy" or "sell" based on price movement:
If the closing price is higher than the opening price (close > open), the volume is classified as "buy."
If the closing price is lower than the opening price (close < open), the volume is classified as "sell."
If the closing price equals the opening price (close == open), it compares with the previous close to determine the direction:
If the current close is higher than the previous close, it is classified as "buy."
If the current close is lower than the previous close, it is classified as "sell."
If the current close equals the previous close, the classification from the previous bar is used.
Delta Calculation:
Calculates the volume delta as the difference between buy volume and sell volume (buyVolume - sellVolume).
A positive delta indicates more buy volume; a negative delta indicates more sell volume.
Imbalance Detection:
Identifies imbalances between buy and sell volume:
A buy imbalance occurs when buy volume exceeds sell volume by a defined percentage (default is 300%).
A sell imbalance occurs when sell volume exceeds buy volume by the same percentage.
Delta Divergence Detection:
Positive Delta Divergence: Occurs when the price is falling (for at least 2 bars) but the delta is increasing or becomes positive, indicating that buyers are entering despite the price decline.
Negative Delta Divergence: Occurs when the price is rising (for at least 2 bars) but the delta is decreasing or becomes negative, indicating that sellers are entering despite the price increase.
Trend Change Signals:
Bullish Signal (trendChangeBullish): Generated when the following conditions are met:
There is a positive delta divergence.
The delta has moved from a negative value (e.g., -500) to a positive value (e.g., +200) over the last 3 bars.
There is a buy imbalance.
The price is near a historical support level (approximated as the lowest low of the last 50 bars).
Bearish Signal (trendChangeBearish): Generated when the following conditions are met:
There is a negative delta divergence.
The delta has moved from a positive value (e.g., +500) to a negative value (e.g., -200) over the last 3 bars.
There is a sell imbalance.
The price is near a historical resistance level (approximated as the highest high of the last 50 bars).
Visual Elements
The indicator is displayed in a separate panel below the price chart (overlay=false) and includes the following elements:
Volume Histograms:
Buy Volume: Represented by a green histogram. Shows the volume classified as "buy."
Sell Volume: Represented by a red histogram. Shows the volume classified as "sell."
Note: The histograms overlap, and the last plotted histogram (red) takes visual precedence, meaning the sell volume may cover the buy volume if it is larger.
Delta Line:
Delta Volume: Represented by a blue line. Shows the difference between buy and sell volume.
A line above zero indicates more buy volume; a line below zero indicates more sell volume.
A dashed gray horizontal line marks the zero level for easier interpretation.
Imbalance Backgrounds:
Buy Imbalance: Light green background when buy volume exceeds sell volume by the defined percentage.
Sell Imbalance: Light red background when sell volume exceeds buy volume by the defined percentage.
Divergence Backgrounds:
Positive Delta Divergence: Lime green background when a positive delta divergence is detected.
Negative Delta Divergence: Fuchsia background when a negative delta divergence is detected.
Trend Change Signals:
Bullish Signal: Green label with the text "Bullish Trend Change" when the conditions for a bullish trend change are met.
Bearish Signal: Red label with the text "Bearish Trend Change" when the conditions for a bearish trend change are met.
Information Labels:
Below each bar, a label displays:
Total Vol: The total volume of the bar.
Delta: The delta volume value.
Alerts
The indicator generates the following alerts:
Positive Delta Divergence: "Positive Delta Divergence Detected! Price is falling, but delta is increasing."
Negative Delta Divergence: "Negative Delta Divergence Detected! Price is rising, but delta is decreasing."
Bullish Trend Change Signal: "Bullish Trend Change Signal! Positive Delta Divergence, Delta Rise, Buy Imbalance, and Near Support."
Bearish Trend Change Signal: "Bearish Trend Change Signal! Negative Delta Divergence, Delta Drop, Sell Imbalance, and Near Resistance."
These alerts can be configured in TradingView to receive real-time notifications.
Adjustable Parameters
The indicator allows customization of the following parameters:
Imbalance Threshold (%): The percentage required to detect an imbalance between buy and sell volume (default is 300%).
Lookback Period for Divergence: Number of bars to look back for detecting price and delta trends (default is 2 bars).
Support/Resistance Lookback Period: Number of bars to look back for identifying historical support and resistance levels (default is 50 bars).
Delta High Threshold (Bearish): Minimum delta value 2 bars ago for the bearish signal (default is +500).
Delta Low Threshold (Bearish): Maximum delta value in the current bar for the bearish signal (default is -200).
Delta Low Threshold (Bullish): Maximum delta value 2 bars ago for the bullish signal (default is -500).
Delta High Threshold (Bullish): Minimum delta value in the current bar for the bullish signal (default is +200).
Practical Use
The indicator is useful for the following purposes:
Identifying Trend Changes:
The trend change signals (trendChangeBullish and trendChangeBearish) indicate potential price reversals. For example, a bullish signal near a support level may be an opportunity to enter a long position.
Detecting Divergences:
Delta divergences (positive and negative) can anticipate trend changes by showing a disagreement between price movement and underlying buying/selling pressure.
Finding Key Levels:
Imbalances (green and red backgrounds) often coincide with support and resistance levels, helping to identify areas where the market might react.
Confirming Trends:
A consistently positive delta in an uptrend or a negative delta in a downtrend can confirm the strength of the trend.
Identifying Failed Auctions:
Although not detected automatically, you can manually identify failed auctions by observing a price move to new highs/lows with decreasing volume in the direction of the move.
Limitations
Intrabar Data: It does not use detailed intrabar data, making it less precise than a native footprint chart.
Approximations: Volume classification and support/resistance detection are approximations, which may lead to false signals.
Volume Dependency: It requires reliable volume data, so it may be less effective on assets with inaccurate volume data (e.g., some forex pairs).
False Signals: Divergences and imbalances do not always indicate a trend change, especially in strongly trending markets.
Recommendations
Combine with Other Indicators: Use tools like RSI, MACD, support/resistance levels, or candlestick patterns to confirm signals.
Trade on Higher Timeframes: Signals are more reliable on higher timeframes like 1-hour or 4-hour charts.
Perform Backtesting: Evaluate the indicator's accuracy on historical data to adjust parameters and improve effectiveness.
Adjust Parameters: Modify thresholds (e.g., imbalanceThreshold or supportResistanceLookback) based on the asset and timeframe you are trading.
Conclusion
The "Volume Footprint Approximation" indicator is a powerful tool for analyzing volume dynamics and anticipating price trend changes. By classifying volume, calculating delta, detecting imbalances and divergences, and generating trend change signals, it provides traders with valuable insights into market buying and selling pressure. While it has limitations due to the lack of intrabar data, it can be highly effective when used in combination with other technical analysis tools and on assets with reliable volume data.
Volume Width Based Candles
Overview
This indicator reimagines traditional candlestick charts by adjusting the horizontal width of each candle based on the bar’s trading volume. In other words, candles with higher volume appear wider, while those with lower volume are drawn narrower. This extra visual dimension can help traders quickly identify bars with significant volume relative to a defined lookback period.
Key Components
Volume Normalization:
The script calculates the highest volume over a user-defined lookback period (default is 100 bars).
Each bar’s volume is then normalized by dividing it by this maximum value. The result is a value between 0 and 1 that represents how the current volume compares to the maximum over the lookback.
Variable Candle Width Calculation:
A base multiplier (default set to 0.4) is used to control how much the volume influences the candle width.
The normalized volume is multiplied by this multiplier to compute an offset value.
Instead of using timestamps (which could lead to drawing objects too far into the future), the script uses the bar_index (the sequential index of bars) to determine the left and right positions of each candle.
The left and right x–positions are calculated by subtracting and adding the offset from the current bar index, respectively.
Candle Body & Wick Drawing:
Candle Body:
The body is drawn using box.new as a rectangle.
The top and bottom of the box are determined by the higher and lower values of the open and close prices.
The color of the candle is set based on whether the bar is bullish (green) or bearish (red).
Wicks:
The upper wick is drawn from the high of the bar down to the top of the body.
The lower wick is drawn from the low up to the bottom of the body.
These are created using line.new at the current bar index.
Handling Edge Cases:
The indicator includes conditions to avoid drawing errors on the very first bar (or any bar where prior data is unavailable).
It also converts the calculated x–coordinates (which are derived from the bar index plus a floating point offset) to integers since box.new requires integer values for positioning.
What It Tells the Trader
Volume Visualization:
Wider candles indicate bars where trading volume is high relative to recent history, potentially highlighting periods of increased market activity.
Narrower candles suggest lower volume, which can signal less interest or participation during that bar.
Contextual Price Action:
By integrating volume into the visual representation of each candle, traders get an immediate sense of the strength behind price movements.
This can be particularly useful for spotting potential breakouts, reversals, or confirming trends when analyzed alongside traditional price-based indicators.
Customization Options
Volume Lookback Period:
You can adjust the number of bars considered when determining the maximum volume. A shorter period may be more responsive to recent changes, while a longer period provides a broader context.
Base Width Multiplier:
Adjusting this multiplier changes how pronounced the effect of volume is on the candle’s width. Increasing it will make high-volume candles even wider, and decreasing it will reduce the difference between high and low volume candles.
Final Thoughts
This indicator is a creative way to overlay volume information directly onto the price chart without the need for separate volume bars. It provides an at-a-glance understanding of market activity and can be a valuable addition to a trader’s toolkit, especially for those who prefer visual cues integrated with price action. However, due to limitations (like the maximum number of drawn boxes), it’s best used on charts with a moderate amount of historical data or with appropriate adjustments to manage performance.
High Volume AlertThe High Volume Alert Script is developed for all traders focusing on volume analysis in their trading strategies, providing alerts for unusually high trading volumes during specified trading sessions.
Functionality:
Volume Moving Average Calculation:
Average Volume = Moving Average(Volume) = Sum of last the x last candles Volume
Where n is the user-defined period for the moving average calculation (denoted as movingaverageinput in the script. This moving average serves as the baseline to compare current volume levels against historical averages.
High Volume Detection:
HighVolume = CurrentVolume >= (MA(Volume) x HighVolumeRatio)
Here, HighVolumeRatio is a user-defined multiplier that sets the threshold for what is considered high volume. If the current volume exceeds this threshold (the product of the moving average of volume and the HighVolumeRatio ), the script identifies this as a high-volume event.
Session Filtering:
The script further refines these alerts by ensuring they only trigger during the specified trading session, enhancing relevance for traders interested in specific market hours. This session is defined by the sess and timezone parameters.
Visualisation and Alerts:
If high volume is detected (HighVolume = True), the script colors the volume bar with the highVolumeColor . If the option is selected, it also changes the color of the candlestick to either highVolumeCandleColorUp (for bullish candles) or highVolumeCandleColorDown (for bearish candles), depending on the price movement within the high-volume period. An alert is generated through the alertcondition function when high volume is detected during the specified session, notifying the trader of potentially significant market activity.
Application in Trading:
This indicator serves traders who prioritize volume as a leading indicator of potential price movement. High trading volumes may indicate the presence of significant market activity, often associated with events like news releases, market openings, or large trades, which can precede price movements.
Originality and Practicality:
This script is self-developed, aiming to fill the gap in automatic ratio adjusted volume alerts within the TradingView environment.
Conclusion:
The High Volume Alert Script is an essential tool for traders who integrate volume analysis into their strategy, offering tailored alerts and visual cues for high volume periods.
Compliance and Limitations:
The script complies with TradingView scripting standards, ensuring no lookahead bias and maintaining real-time data integrity. However, its utility depends on the availability on volume data, and please be aware that forex pairs never offer real volume data, this tool is best used with a exchange traded symbol.
VSA Volume Spread AnalysisVolume Spread Analysis with Trend Direction is an indicator designed to Identify trend based volume spread.
Volume
Spread
Trend
This is a very simple yet powerful to identify Trend and corresponding volume Breakout. Unlike other Volume Indicators this indicator detects Breakout along with trend direction. One can detect the Early breakout in volume using this indicator. The Buy or Sell Signal is based on zero crossing of the Histogram.
Trend direction is confirmed using the MA of the Histogram which is similar to the Volume MA on volume indicator. One can enter a trade using the indicator when Trend direction and histogram are in same direction. Entry is done when ever histogram crosses the Trend MA line.
Fake entries can be eliminated by changing the indicator to higher Timeframe.
Spread is determined using the difference in open and close of the candle
Volume change is determined using the ratio of change of volume to previous volume
EMA 10 is used to determine the Spread and multiplied by volume change so the
PRICE(ema10), Volume, Spread(close-open) are merged to one indicator.
Direction changes when ever difference of VSA is positive or negative.
Bitcoin Aggregated Volume Profile «NoaTrader»If you use volume profile for analyzing Bitcoin, you may know that sometimes the decisions of big CEXs like Binance can change the volume of each symbol and so the analysis perceived from the data (which may not be valid anymore); Like when Binance decided to transfer the free transaction fee promotion from BTCUSDT to BTCTUSD pair or the new introduced BTCFDUSD pair with volume market share as much as BTCTUSD after only 1 month (according to the coinmarketcap's data).
This indicator tries to solve that problem for using volume profile. So, it collects all the volumes of different pairs from different exchanges and then uses all of them to calculate the volume profile.
Also, there is an option to compare the current symbols volume to the whole volume profile which is a Boolean option in the settings (the picture above)
The aggregated volume data includes:
BINANCE:BTCUSDT
BINANCE:BTCTUSD
BINANCE:BTCBUSD
BINANCE:BTCFDUSD
BINANCE:BTCDAI
BINANCE:BTCEUR
BITSTAMP:BTCUSDT
BITSTAMP:BTCUSD
COINBASE:BTCUSDT
COINBASE:BTCUSD
COINBASE:BTCEUR
HUOBI:BTCUSDT
KUCOIN:BTCUSDT
KRAKEN:XBTUSD
KRAKEN:XBTEUR
BITFINEX:BTCUSD
BYBIT:BTCUSDT
KRAKEN:BTCUSD
OKX:BTCUSDT
MW Volume ImpulseMW Volume Impulse
Settings
* Moving Average Period: The moving average period used to generate the moving average line for the bar chart. Default=14
* Dot Size: The size of the dot that indicates when the moving average of the CVD is breached. Default=10
* Dot Transparency: The transparency of the dot that indicates when the moving average of the CVD is breached. Default=50
* EMA: The exponential moving average that the price must break through, in addition to the CVD moving
* Accumulation Length: Period used to generate the Cumulative Volume Delta (CVD) for the bar chart. Default=14
Introduction
Velocity = Change in Position over time
Acceleration = Change in Velocity over time
For this indicator, Position is synonymous with the Cumulative Volume Delta (CVD) value. What the indicator attempts to do is to determine when the rate of acceleration of buying or selling volume is changing in either or buying or selling direction in a meaningful way.
Calculations
The CVD, upon which these changes is calculated using candle bodies and wicks. For a red candle, buying volume is calculated by multiplying the volume by the spread percentage of the average of the top and bottom wicks, while Selling Volume is calculated multiplying the volume by the spread percentage of the average of the top and bottom wicks - in addition to the spread percentage of the candle body.
For a green candle, buying volume is calculated by multiplying the volume by the spread percentage of the average of the top and bottom wicks - plus the spread percentage of the candle body - while Selling Volume is calculated using only the spread percentage average of the top and bottom wicks.
How to Interpret
The difference between the buying volume and selling volume is the source of what generates the red and green bars on the indicator. But, more specifically, this indicator uses an exponential moving average of these volumes (14 EMA by default) to determine that actual bar size. The change in this value indicates the velocity of volume and, ultimately, the red and green bars on the indicator.
- When the bar height is zero, that means that there is no velocity, which indicates either a balance between buyers and sellers, or very little volume.
- When the bar height remains largely unchanged from period to period - and not zero - it means that the velocity of volume is constant in one direction. That direction is indicated by the color of the bar. Buyers are dominating when the bars are green, and sellers are dominating when the bars are red.
- When the bar height increases, regardless of bar color, it means that volume is accelerating in a buying direction.
- When the bar height decreases, regardless of bar color, it means that volume is accelerating in a selling direction.
The white line represents the moving average of the bar values, while the red and white - and green and white - dots show when the moving average has been breached by the Cumulative Volume Delta value AND the price has broken the 7 EMA (which is user editable). As with most moving averages, a breach can indicate a move in a bearish or bullish direction, and the sensitivity can be adjusted for differing market conditions
Other Usage Notes and Limitations
For better use of the signal, consider the following,
1. Volume moving below the moving average can indicate that the volume may be ready to exit an overbought condition, especially if the bars were making lower highs prior to the signal - regardless of bar color.
3. Volume moving above the moving average can indicate that the volume may be ready to exit an oversold condition, especially if the bars were making higher lows prior to the signal - regardless of bar color.
Additionally, a green dot that occurs with a positive (green) Cumulative Volume Delta can indicate a buying condition, while a red dot that occurs with a negative (red) Cumulative Volume Delta can indicate a selling condition. What this means is that buying or selling momentum briefly went against the direction of buying or selling Cumulative Volume Delta , but was not strong enough to change the buying or selling direction. In cases like this, once the volume begins to accelerate again in the direction of the buying or selling volume - indicated by a red or green dot - then the price is more likely to favor the direction of the Cumulative Volume Delta and its corresponding acceleration.
Although a red or green signal can indicate a change in direction, this script cannot predict the magnitude or duration of the change. It is best used with accompanying indicators that can be used to confirm a direction change, such as a moving average, or a supply or demand range.
1 min Volume Flow Indicator (VFI) with EMA ribbonOriginally Markos Katsanos' indicator that LazyBear made popular here on TW. Now updated to Pine Script version 5, which makes multi-timeframe charting easier.
The initial Katsanos' idea for the indicator is the following:
"The VFI is based on the popular On Balance Volume (OBV) but with three very important modifications:
Unlike the OBV, indicator values are no longer meaningless. Positive readings are bullish and negative bearish.
The calculation is based on the day’s median instead of the closing price.
A volatility threshold takes into account minimal price changes and another threshold eliminates excessive volume. ...
A simplified interpretation of the VFI is that values above zero indicate a bullish state and the crossing of the zero line is the trigger or buy signal.
The strongest signal with all money flow indicators is of course divergence.
The classic form of divergence is when the indicator refuses to follow the price action and makes lower highs while price makes higher highs (negative divergence). If price reaches a new low but the indicator fails to do so, then price probably traveled lower than it should have. In this instance, you have positive divergence."
I set up default settings for intraday trading I personally have found the most useful. And what I have found useful is how and which volume flows in and out on 1 min chart. For 1 min volume flow I find it convenient to have specific EMAs as guidance: 360, 720, 1440, 2160, 2880, 3600, 4320 -- the logic is derived from how many minutes there are per specific hours and days. Since short term trends typically last for three days, 1440 and 4320 EMAs are the ones I myself concentrate the most. That is to say, quite often 1min volume flow pivots around 1440 and 4320 EMAs.
If you want to see 1 min volume flow on some other timeframe than 1 min, change the timeframe in the settings.
Swing Volume Profiles [LuxAlgo]The Swing Volume Profiles indicator aims to calculate and highlight trading activity at specific price levels between two swing points; allowing traders to reveal dominant and/or significant price levels based on volume.
By measuring traded volume at all price levels in the market over a specified time period, the script can also be used to detect some key analysis generally such as supply & demand, buy-side & sell-side liquidity levels, unfilled liquidity voids, and imbalances that can highlight on the chart.
🔶 USAGE
A volume profile is an advanced charting tool that displays the traded volume at different price levels over a specific period. It helps you visualize where the majority of trading activity has occurred.
Key Levels are the areas where the volume is concentrated or where there are significant volume spikes. These levels are known as key support and resistance levels. High-volume nodes indicate areas of high activity and are likely to act as support or resistance in the future.
Volume profile also helps identify value areas, which represent the price levels where the most trading activity has taken place. These levels can act as areas of support or resistance as traders perceive them as fair value.
The Point of Control describes the price level where the most volume was traded. A Naked Point of Control (also called a Virgin Point of Control) is a previous POC that has not been traded. Extending PoC options 'Until Bar Cross' or 'Until Bar Touch' helps in identifying Naked Point of Control Lines.
Previous PoC levels can serve as support and resistance for future price movements. Extending PoC Level 'Until Last Bar' option will help to identify such levels.
🔶 DETAILS
One of the unique features of the script is its ability to detect some other key levels such as levels of acceptance and rejection.
Levels of rejection we may summarize as supply and demand levels, these are also referred to as buy-side and sell-side liquidity levels. They usually occur at extreme highs or lows, where prices may be too high for buyers (high supply, low demand) or too low for sellers (low supply, high demand)
Levels of acceptance are the levels where Liquidity Voids occur, these are also referred to imbalances. Liquidity voids are sudden changes in price when the price jumps from one level to another. The peculiar thing about liquidity voids is that they almost always fill up, so we call them levels of acceptance.
🔶 ALERTS
When an alert is configured, the user will have the ability to be notified in case:
Point Of Control Line is touched/crossed
Value Area High Line is touched/crossed
Value Area Low Line is touched/crossed
🔶 SETTINGS
🔹 Display Options
Mode: Controls the lookback length of detection and visualization, where Present assumes last X bars specifid in '# Bars' option and Historical assumes all data available to the user as well as allowed limits of visiual objects (boxs, lines, labels etc)
# Bars: Controls the lookback length.
🔹 Swing Volume Profiles
The script takes into account user-defined parameters and plots volume profiles. Due to Pine Script™ drwaing objects limit only total volume profiles are presented.
Swing Detection Length: Lookback period
Swing Volume Profiles: Toggles the visibility of the Volume Profiles, with color options to differentiate the Value Area within a profile.
Profile Range Background Fill: Toggles the visibility of the Volume Profiles Range
🔹 Point of Control (PoC)
Point of Control (POC) – The price level for the time period with the highest traded volume
Point of Control (PoC): Toggles the visibility of the Point of Control
Developing PoC: Toggles the visibility of the Developing PoC
Extend PoC: Option that allows detecting virgin PoC levels. Virgin Point of Control (VPoC) is defined as a Point of Control that has never been revisited or touched. The option also allows PoC levels to extend till the last bar aiming to present levels from history where the levels were traded significantly and those levels can be used as support and resistance levels.
🔹 Value Area (VA)
Value Area (VA) – The range of price levels in which the specified percentage of all volume was traded during the time period.
Value Area Volume %: Specifies percentage of the Value Area
Value Area High (VAH): Toggles the visibility of the Value Area High, the highest price level within the Value Area
Value Area Low (VAL): Toggles the visibility of the Value Area Low, the lowest price level within the Value Area
Value Area (VA) Background Fill: Toggles the visibility of the Value Area Range
🔹 Liquidity Levels / Voids
Unfilled Liquidity, Thresh: Enable display of the Unfilled Liquidity Levels and Liquidity Voids, where threshold value defines the significance of the level.
🔹 Profile Stats
Position, Size: Specifies the position and the size of the label presenting Profile Stats, the tooltip of the label includes all related info for each profile.
Price, Price Change, and Cumulative Volume: Enable display of the given options on the chart.
🔹 Volume Profile Others
Number of Rows: Specify how many rows each histogram will have. Caution, having it set to high values will quickly hit Pine Script™ drawing objects limit and may cause fewer historical profiles to be displayed.
Placement: Place profile either left or right.
Profile Width %: Alters the width of the rows in the histogram, relative to the calculated profile length.
🔶 RELATED SCRIPTS
Alternative Liquidity Void Detection script, Buyside-Sellside-Liquidity
Volume Price Balance by serkany88This idea has been in my mind for a while. We all know how important volume is to technical analysis but volume and price itself doesn't mean much when volatility and momentum of the current trend is not taken into account. With this oscillator we try to combine all these factors into one indicator and provide a simplified interpretation of this relationship with spread analysis. This indicator can be used in all timeframes but higher timeframes like 1 hour and above will provide most stable results.
How it works?
This oscillator tries to analyze volume spread along with price spread based on wyckoff methods and attains certain "strength value" for each candle and it's relationship with the volume. After this calculation preferably we remove detected rejection candles from overall calculation and draw them as plots. The multipliers of the strengths can be changed from the settings.
Green Line Above Red Line = Bullish momentum stronger
Red Line Above Green Line = Bearish momentum stronger
Top circles mean possible bullish reversal candle detected. Gray is weak, White is normal and Red top circle means strong possible reversal detected.
Bottom circles mean possible bearish reversal candle detected. Gray is weak, White is normal and Green bottom circle means strong possible reversal detected.
Let's check the example below
As you can see we see a green dot appear in a somewhat weakening bullish momentum, this can mean possible reversal can happen soon and it does.
Below is a bearish example
In this example we see a possible strong reversal signal in a increasing bullish momentum and the price reacts immediately after the candle.
We also have a table that shows the current non-smoothed result of trend strength based on calculated price-volume spread at top right of the oscillator.
Time & volume point of control / quantifytoolsWhat are TPOC & VPOC?
TPOC (time point of control) and VPOC (volume point of control) are points in price where highest amount of time/volume was traded. This is considered key information in a market profile, as it shows where market participant interest was highest. Unlike full fledged market profile that shows total time/volume distribution, this script shows the points of control for each candle, plotted with a line (time) and a dot (volume). The script hides your candles/bars by default and forms a line in the middle representing candle range. In case of candles, borders will still be visible. This feature can be turned off in the settings.
Volume and time data are fetched from a lower timeframe that is automatically adjusted to fit the timeframe you're using. By default, the following settings are applied:
Charts <= 30 min: 1 minute timeframe
Charts > 30 min & <= 3 hours : 5 minute timeframe
Charts > 3 hours & <= 8 hours : 15 minute timeframe
Charts > 8 hours & <= 1D: 1 hour timeframe
Charts > 1D & <= 3D : 2 hour timeframe
Charts > 3D: 4 hour timeframe
Timeframe settings can be changed via input menu. The lower the timeframe, the more precision you get but with the cost of less historical data and slower loading time. Users can also choose which source to use for determining price for points of control, e.g. using close as source, the point of control is set to match the value of lower timeframe candle close. This could be replaced with OHLC4 for example, resulting in a point of control based on OHLC average.
To identify more profound points of market participant interest, TPOC & VPOC as percentage of total time/volume thresholds can be set via input menu. When a point of control is equal to or greater than the set percentage threshold, visual elements will be highlighted in a different color, e.g. 50% VPOC threshold will activate a highlight whenever volume traded at VPOC is equal to or greater than 50% of total volume. All colors are customizable.
VPOC is defined by fetching lower timeframe candle with the most amount of volume traded and using its close (by default) as a mark for point of control. For TPOC, each candle is divided into 10 lots which are used for calculating amount of closes taking place within the bracket values. The lot with highest amount of closes will be considered a point of control. This mark is displayed in the middle point of a lot:
How to utilize TPOC & VPOC
Example #1: Trapped market participants
One or both points of control at one end of candle range (wick tail) and candle close at the other end serves as an indication of market participants trapped in an awkward position. When price runs away further from these trapped participants, they are eventually forced to cover and drive price even further to the opposite direction:
Example #2: Trend initiation
A large move that leaves TPOC behind while VPOC is supportive serves as an indication of a trend initiation. Essentially, this is one way to identify an event where price traded sideways most of the time and suddenly moved away with volume:
Example #3: POC supported trend
A trend is healthy when it's supported by a point of control. Ideally you want to see either time or volume supporting a trend:
Aggregated Delta (Buy/Sell) Volume - InFinito||||||||||||||||CREDITS||||||||||||||||
Modified & Updated script from MARKET VOLUME by Ricardo M Arjona @XeL_Arjona that Includes Aggregated Volume , Delta Volume , Volume by Side
Aggregation code originally from Crypt0rus
||||||||||||||||NOTES||||||||||||||||
- Calculated based on Aggregated Volume instead of by symbol volume . Using aggregated data makes it more accurate and allows to compare volume flow between different kinds of markets (Spot, Futures , Perpetuals, Futures+Perpetuals and All Volume ).
- As well, in order to make the data as accurate as possible, the data from each exchange aggregated is normalized to report always in terms of 1 BTC . In case this indicator is used for another symbol, the calculations can be adjusted manually to make it always report data in terms of 1 contract/coin.
- The indicator can be used for any coin/symbol to aggregate volume , but it has to be set up manually
- The indicator can be used with specific symbol data only by disabling the aggregation option, which allows for it to be used on any symbol
- Previously Included with "Aggr. CDV / Delta Volume" this functionality has been removed from the latter indicator for functionality and simplicity purposes.
||||||||||||||||FUNCTIONALITY||||||||||||||||
Aggregated Delta Volume: Based off Xel_Arjona's calculation, buy and sell volume is estimated each period. This indicators can display both Buy Volume and Sell Volume for each period.
By Default, this indicator displays Delta Volume by side, which is the difference between the estimated buy and sell volume.
By checking the Option "Show all volume by side", instead of the Delta volume, all Buy and Sell Volume will be displayed by side
Volume Variation Index IndicatorThis tool is a quantitative tip for analysts who study volumes or create volume based trading strategies.
Like all our projects, we start with a statistical logic to which we add coding logic.
This indicator can save a huge amount of time in calculating the variation of volume between sessions .
How it work
The indicator calculates the difference between the volume of the last closing bar and the volume of the previous closing bar. It shows the difference between the trading volumes.
The session in which the trading volume is up are represented in green.
Red session represent trading volume down.
We have added a third function.
Through the User Interface the trader can activate or deactivate the variation average.
The indicator is able to calculate the average of the volume changes by representing it with a blue line.
To activate the average, simply set it to ON in the User Interface.
By default, the indicator calculates the average of the last 10 periods, but you are free to set this parameter in the User Interface.
Data access
To access the data, simply move the cursor. When you move the cursor over the green bars, the increase data will be displayed in green. By hovering the cursor over the red bars you will see the decrease data in red. By hovering the cursor over the average will show you the average data in blue.
The data is displayed in the top left corner of the indicator dashboard.
If you found this indicator helpful, please like our script.
Cumulative Volume Delta Profile and Heatmap [BackQuant]Cumulative Volume Delta Profile and Heatmap
A multi-view CVD workstation that measures buying vs selling pressure, renders a price-aligned CVD profile with Point of Control, paints an optional heatmap of delta intensity, and detects classical CVD divergences using pivot logic. Built for reading who is in control, where participation clustered, and when effort is failing to produce result.
What is CVD
Cumulative Volume Delta accumulates the difference between aggressive buys and aggressive sells over time. When CVD rises, buyers are lifting the offer more than sellers are hitting the bid. When CVD falls, the opposite is true. Plotting CVD alongside price helps you judge whether price moves are supported by real participation or are running on fumes.
Core Features
Visual Analysis Components
CVD Columns - Plot of cumulative delta, colored by side, for quick read of participation bias.
CVD Profile - Price-aligned histogram of CVD accumulation using user-set bins. Shows where net initiative clustered.
Split Buy and Sell CVD - Optional two-sided profile that separates positive and negative CVD into distinct wings.
POC - Point of Control - The price level with the highest absolute CVD accumulation, labeled and line-marked.
Heatmap - Semi-transparent blocks behind price that encode CVD intensity across the last N bars.
Divergence Engine - Pivot-based detection of Bearish and Bullish CVD divergences with optional lines and labels.
Stats Panel - Top level metrics: Total CVD, Buy and Sell totals with percentages, Delta Ratio, and current POC price.
How it works
Delta source and sampling
You select an Anchor Timeframe that defines the higher time aggregation for reading the trend of CVD.
The script pulls lower timeframe volume delta and aggregates it to the anchor window. You can let it auto-select the lower timeframe or force a custom one.
CVD is then accumulated bar by bar to form a running total. This plot shows the direction and persistence of initiative.
Profile construction
The recent price range is split into Profile Granularity bins.
As price traverses a bin, the current delta contribution is added to that bin.
If Split Buy and Sell CVD is enabled, positive CVD goes to the right wing and negative CVD to the left wing.
Widths are scaled by each side’s maximum so you can compare distribution shape at a glance.
The Point of Control is the bin with the highest absolute CVD. This marks where initiative concentrated the most.
Heatmap
For each bin, the script computes intensity as absolute CVD relative to the maximum bin value.
Color is derived from the side in control in that bin and shaded by intensity.
Heatmap Length sets how far back the panels extend, highlighting recurring participation zones.
Divergence model
You define pivot sensitivity with Pivot Left and Right .
Bearish divergence triggers when price confirms a higher high while CVD fails to make a higher high within a configurable Delta Tolerance .
Bullish divergence triggers when price confirms a lower low while CVD fails to make a lower low.
On trigger, optional link lines and labels are drawn at the pivots for immediate context.
Key Settings
Delta Source
Anchor Timeframe - Higher TF for the CVD narrative.
Custom Lower TF and Lower Timeframe - Force the sampling TF if desired.
Pivot Logic
Pivot Left and Right - Bars to each side for swing confirmation.
Delta Tolerance - Small allowance to avoid near-miss false positives.
CVD Profile
Show CVD Profile - Toggle profile rendering.
Split Buy and Sell CVD - Two-sided profile for clearer side attribution.
Show Heatmap - Project intensity panels behind price.
Show POC and POC Color - Mark the dominant CVD node.
Profile Granularity - Number of bins across the visible price range.
Profile Offset and Profile Width - Position and scale the profile.
Profile Position - Right, Left, or Current bar alignment.
Visuals
Bullish Div Color and Bearish Div Color - Colors for divergence artifacts.
Show Divergence Lines and Labels - Visualize pivots and annotations.
Plot CVD - Column plot of total CVD.
Show Statistics and Position - Toggle and place the summary table.
Reading the display
CVD columns
Rising CVD confirms buyers are in control. Falling CVD confirms sellers.
Flat or choppy CVD during wide price moves hints at passive or exhausted participation.
CVD profile wings
Thick right wing near a price zone implies heavy buy initiative accumulated there.
Thick left wing implies heavy sell initiative.
POC marks the strongest initiative node. Expect reactions on first touch and rotations around this level when the tape is balanced.
Heatmap
Brighter blocks indicate stronger historical net initiative at that price.
Stacked bright bands form CVD high volume nodes. These often behave like magnets or shelves for future trade.
Divergences
Bearish - Price prints a higher high while CVD fails to do so. Effort is not producing result. Potential fade or pause.
Bullish - Price prints a lower low while CVD fails to do so. Capitulation lacks initiative. Potential bounce or reversal.
Stats panel
Total CVD - Net initiative over the window.
Buy and Sell volume with percentages - Side composition.
Delta Ratio - Buy over Sell. Values above 1 favor buyers, below 1 favor sellers.
POC Price - Current control node for plan and risk.
Workflows
Trend following
Choose an Anchor Timeframe that matches your holding period.
Trade in the direction of CVD slope while price holds above a bullish POC or below a bearish POC.
Use pullbacks to CVD nodes on your profile as entry locations.
Trend weakens when price makes new highs but CVD stalls, or new lows while CVD recovers.
Mean reversion
Look for divergences at or near prior CVD nodes, especially the POC.
Fade tests into thick wings when the side that dominated there now fails to push CVD further.
Target rotations back toward the POC or the opposite wing edge.
Liquidity and execution map
Treat strong wings and heatmap bands as probable passive interest zones.
Expect pauses, partial fills, or flips at these shelves.
Stops make sense beyond the far edge of the active wing supporting your idea.
Alerts included
CVD Bearish Divergence and CVD Bullish Divergence.
Price Cross Above POC and Price Cross Below POC.
Extreme Buy Imbalance and Extreme Sell Imbalance from Delta Ratio.
CVD Turn Bullish and CVD Turn Bearish when net CVD crosses zero.
Price Near POC proximity alert.
Best practices
Use a higher Anchor Timeframe to stabilize the CVD story and a sensible Profile Granularity so wings are readable without clutter.
Keep Split mode on when you want to separate initiative attribution. Turn it off when you prefer a single net profile.
Tune Pivot Left and Right by instrument to avoid overfitting. Larger values find swing divergences. Smaller values find micro fades.
If volume is thin or synthetic for the symbol, CVD will be less reliable. The script will warn if volume is zero.
Trading applications
Context - Confirm or question breakouts with CVD slope.
Location - Build entries at CVD nodes and POC.
Timing - Use divergence and POC crosses for triggers.
Risk - Place stops beyond the opposite wing or outside the POC shelf.
Important notes and limits
This is a price and volume based study. It does not access off-book or venue-level order flow.
CVD profiles are built from the data available on your chart and the chosen lower timeframe sampling.
Like all volume tools, readings can distort during roll periods, holidays, or feed anomalies. Validate on your instrument.
Technical notes
Delta is aggregated from a lower timeframe into an Anchor Timeframe narrative.
Profile bins update in real time. Splitting by side scales each wing independently so both are readable in the same panel.
Divergences are confirmed using standard pivot definitions with user-set tolerances.
All profile drawing uses fixed X offsets so panels and POC do not swim when you scroll.
Quick start
Anchor Timeframe = Daily for intraday context.
Split Buy and Sell CVD = On.
Profile Granularity = 100 to 200, Profile Position = Right, Width to taste.
Pivot Left and Right around 8 to 12 to start, then adapt.
Turn on Heatmap for a fast map of interest bands.
Bottom line
CVD tells you who is doing the lifting. The profile shows where they did it. Divergences tell you when effort stops paying. Put them together and you get a clear read on control, location, and timing for both trend and mean reversion.
Volume Delta Volume Signals by Claudio [hapharmonic]// This Pine Script™ code is subject to the terms of the Mozilla Public License 2.0 at mozilla.org
// © hapharmonic
//@version=6
FV = format.volume
FP = format.percent
indicator('Volume Delta Volume Signals by Claudio ', format = FV, max_bars_back = 4999, max_labels_count = 500)
//------------------------------------------
// Settings |
//------------------------------------------
bool usecandle = input.bool(true, title = 'Volume on Candles',display=display.none)
color C_Up = input.color(#12cef8, title = 'Volume Buy', inline = ' ', group = 'Style')
color C_Down = input.color(#fe3f00, title = 'Volume Sell', inline = ' ', group = 'Style')
// ✅ Nueva entrada para colores de señales
color buySignalColor = input.color(color.new(color.green, 0), "Buy Signal Color", group = "Signals")
color sellSignalColor = input.color(color.new(color.red, 0), "Sell Signal Color", group = "Signals")
string P_ = input.string(position.top_right,"Position",options = ,
group = "Style",display=display.none)
string sL = input.string(size.small , 'Size Label', options = , group = 'Style',display=display.none)
string sT = input.string(size.normal, 'Size Table', options = , group = 'Style',display=display.none)
bool Label = input.bool(false, inline = 'l')
History = input.bool(true, inline = 'l')
// Inputs for EMA lengths and volume confirmation
bool MAV = input.bool(true, title = 'EMA', group = 'EMA')
string volumeOption = input.string('Use Volume Confirmation', title = 'Volume Option', options = , group = 'EMA',display=display.none)
bool useVolumeConfirmation = volumeOption == 'none' ? false : true
int emaFastLength = input(12, title = 'Fast EMA Length', group = 'EMA',display=display.none)
int emaSlowLength = input(26, title = 'Slow EMA Length', group = 'EMA',display=display.none)
int volumeConfirmationLength = input(6, title = 'Volume Confirmation Length', group = 'EMA',display=display.none)
string alert_freq = input.string(alert.freq_once_per_bar_close, title="Alert Frequency",
options= ,group = "EMA",
tooltip="If you choose once_per_bar, you will receive immediate notifications (but this may cause interference or indicator repainting).
\n However, if you choose once_per_bar_close, it will wait for the candle to confirm the signal before notifying.",display=display.none)
//------------------------------------------
// UDT_identifier |
//------------------------------------------
type OHLCV
float O = open
float H = high
float L = low
float C = close
float V = volume
type VolumeData
float buyVol
float sellVol
float pcBuy
float pcSell
bool isBuyGreater
float higherVol
float lowerVol
color higherCol
color lowerCol
//------------------------------------------
// Calculate volumes and percentages |
//------------------------------------------
calcVolumes(OHLCV ohlcv) =>
var VolumeData data = VolumeData.new()
data.buyVol := ohlcv.V * (ohlcv.C - ohlcv.L) / (ohlcv.H - ohlcv.L)
data.sellVol := ohlcv.V - data.buyVol
data.pcBuy := data.buyVol / ohlcv.V * 100
data.pcSell := 100 - data.pcBuy
data.isBuyGreater := data.buyVol > data.sellVol
data.higherVol := data.isBuyGreater ? data.buyVol : data.sellVol
data.lowerVol := data.isBuyGreater ? data.sellVol : data.buyVol
data.higherCol := data.isBuyGreater ? C_Up : C_Down
data.lowerCol := data.isBuyGreater ? C_Down : C_Up
data
//------------------------------------------
// Get volume data |
//------------------------------------------
ohlcv = OHLCV.new()
volData = calcVolumes(ohlcv)
// Plot volumes and create labels
plot(ohlcv.V, color=color.new(volData.higherCol, 90), style=plot.style_columns, title='Total',display = display.all - display.status_line)
plot(ohlcv.V, color=volData.higherCol, style=plot.style_stepline_diamond, title='Total2', linewidth = 2,display = display.pane)
plot(volData.higherVol, color=volData.higherCol, style=plot.style_columns, title='Higher Volume', display = display.all - display.status_line)
plot(volData.lowerVol , color=volData.lowerCol , style=plot.style_columns, title='Lower Volume',display = display.all - display.status_line)
S(D,F)=>str.tostring(D,F)
volStr = S(math.sign(ta.change(ohlcv.C)) * ohlcv.V, FV)
buyVolStr = S(volData.buyVol , FV )
sellVolStr = S(volData.sellVol , FV )
// ✅ MODIFICACIÓN: Porcentaje sin decimales
buyPercentStr = str.tostring(math.round(volData.pcBuy)) + " %"
sellPercentStr = str.tostring(math.round(volData.pcSell)) + " %"
totalbuyPercentC_ = volData.buyVol / (volData.buyVol + volData.sellVol) * 100
sup = not na(ohlcv.V)
if sup
TC = text.align_center
CW = color.white
var table tb = table.new(P_, 6, 6, bgcolor = na, frame_width = 2, frame_color = chart.fg_color, border_width = 1, border_color = CW)
tb.cell(0, 0, text = 'Volume Candles', text_color = #FFBF00, bgcolor = #0E2841, text_halign = TC, text_valign = TC, text_size = sT)
tb.merge_cells(0, 0, 5, 0)
tb.cell(0, 1, text = 'Current Volume', text_color = CW, bgcolor = #0B3040, text_halign = TC, text_valign = TC, text_size = sT)
tb.merge_cells(0, 1, 1, 1)
tb.cell(0, 2, text = 'Buy', text_color = #000000, bgcolor = #92D050, text_halign = TC, text_valign = TC, text_size = sT)
tb.cell(1, 2, text = 'Sell', text_color = #000000, bgcolor = #FF0000, text_halign = TC, text_valign = TC, text_size = sT)
tb.cell(0, 3, text = buyVolStr, text_color = CW, bgcolor = #074F69, text_halign = TC, text_valign = TC, text_size = sT)
tb.cell(1, 3, text = sellVolStr, text_color = CW, bgcolor = #074F69, text_halign = TC, text_valign = TC, text_size = sT)
tb.cell(0, 5, text = 'Net: ' + volStr, text_color = CW, bgcolor = #074F69, text_halign = TC, text_valign = TC, text_size = sT)
tb.merge_cells(0, 5, 1, 5)
tb.cell(0, 4, text = buyPercentStr, text_color = CW, bgcolor = #074F69, text_halign = TC, text_valign = TC, text_size = sT)
tb.cell(1, 4, text = sellPercentStr, text_color = CW, bgcolor = #074F69, text_halign = TC, text_valign = TC, text_size = sT)
cellCount = 20
filledCells = 0
for r = 5 to 1 by 1
for c = 2 to 5 by 1
if filledCells < cellCount * (totalbuyPercentC_ / 100)
tb.cell(c, r, text = '', bgcolor = C_Up)
else
tb.cell(c, r, text = '', bgcolor = C_Down)
filledCells := filledCells + 1
filledCells
if Label
sp = ' '
l = label.new(bar_index, ohlcv.V,
text=str.format('Net: {0}\nBuy: {1} ({2})\nSell: {3} ({4})\n{5}/\\\n {5}l\n {5}l',
volStr, buyVolStr, buyPercentStr, sellVolStr, sellPercentStr, sp),
style=label.style_none, textcolor=volData.higherCol, size=sL, textalign=text.align_left)
if not History
(l ).delete()
//------------------------------------------
// Draw volume levels on the candlesticks |
//------------------------------------------
float base = na,float value = na
bool uc = usecandle and sup
if volData.isBuyGreater
base := math.min(ohlcv.O, ohlcv.C)
value := base + math.abs(ohlcv.O - ohlcv.C) * (volData.pcBuy / 100)
else
base := math.max(ohlcv.O, ohlcv.C)
value := base - math.abs(ohlcv.O - ohlcv.C) * (volData.pcSell / 100)
barcolor(sup ? color.new(na, na) : ohlcv.C < ohlcv.O ? color.red : color.green,display = usecandle? display.all:display.none)
UseC = uc ? volData.higherCol:color.new(na, na)
plotcandle(uc?base:na, uc?base:na, uc?value:na, uc?value:na,
title='Body', color=UseC, bordercolor=na, wickcolor=UseC,
display = usecandle ? display.all - display.status_line : display.none, force_overlay=true,editable=false)
plotcandle(uc?ohlcv.O:na, uc?ohlcv.H:na, uc?ohlcv.L:na, uc?ohlcv.C:na,
title='Fill', color=color.new(UseC,80), bordercolor=UseC, wickcolor=UseC,
display = usecandle ? display.all - display.status_line : display.none, force_overlay=true,editable=false)
//------------------------------------------------------------
// Plot the EMA and filter out the noise with volume control. |
//------------------------------------------------------------
float emaFast = ta.ema(ohlcv.C, emaFastLength)
float emaSlow = ta.ema(ohlcv.C, emaSlowLength)
bool signal = emaFast > emaSlow
color c_signal = signal ? C_Up : C_Down
float volumeMA = ta.sma(ohlcv.V, volumeConfirmationLength)
bool crossover = ta.crossover(emaFast, emaSlow)
bool crossunder = ta.crossunder(emaFast, emaSlow)
isVolumeConfirmed(source, length, ma) =>
math.sum(source > ma ? source : 0, length) >= math.sum(source < ma ? source : 0, length)
bool ISV = isVolumeConfirmed(ohlcv.V, volumeConfirmationLength, volumeMA)
bool crossoverConfirmed = crossover and (not useVolumeConfirmation or ISV)
bool crossunderConfirmed = crossunder and (not useVolumeConfirmation or ISV)
PF = MAV ? emaFast : na
PS = MAV ? emaSlow : na
p1 = plot(PF, color = c_signal, editable = false, force_overlay = true, display = display.pane)
plot(PF, color = color.new(c_signal, 80), linewidth = 10, editable = false, force_overlay = true, display = display.pane)
plot(PF, color = color.new(c_signal, 90), linewidth = 20, editable = false, force_overlay = true, display = display.pane)
plot(PF, color = color.new(c_signal, 95), linewidth = 30, editable = false, force_overlay = true, display = display.pane)
plot(PF, color = color.new(c_signal, 98), linewidth = 45, editable = false, force_overlay = true, display = display.pane)
p2 = plot(PS, color = c_signal, editable = false, force_overlay = true, display = display.pane)
plot(PS, color = color.new(c_signal, 80), linewidth = 10, editable = false, force_overlay = true, display = display.pane)
plot(PS, color = color.new(c_signal, 90), linewidth = 20, editable = false, force_overlay = true, display = display.pane)
plot(PS, color = color.new(c_signal, 95), linewidth = 30, editable = false, force_overlay = true, display = display.pane)
plot(PS, color = color.new(c_signal, 98), linewidth = 45, editable = false, force_overlay = true, display = display.pane)
fill(p1, p2, top_value=crossover ? emaFast : emaSlow,
bottom_value =crossover ? emaSlow : emaFast,
top_color =color.new(c_signal, 80),
bottom_color =color.new(c_signal, 95)
)
// ✅ Usar colores configurables para señales
plotshape(crossoverConfirmed and MAV, style=shape.triangleup , location=location.belowbar, color=buySignalColor , size=size.small, force_overlay=true,display =display.pane)
plotshape(crossunderConfirmed and MAV, style=shape.triangledown, location=location.abovebar, color=sellSignalColor, size=size.small, force_overlay=true,display =display.pane)
string msg = '---------\n'+"Buy volume ="+buyVolStr+"\nBuy Percent = "+buyPercentStr+"\nSell volume = "+sellVolStr+"\nSell Percent = "+sellPercentStr+"\nNet = "+volStr+'\n---------'
if crossoverConfirmed
alert("Price (" + str.tostring(close) + ") Crossed over MA\n" + msg, alert_freq)
if crossunderConfirmed
alert("Price (" + str.tostring(close) + ") Crossed under MA\n" + msg, alert_freq)
Heikin Ashi VolumeHeikin Ashi candles decrease market noise so that broader trends can be more easily visualized. In a typical chart utilizing Heikin Ashi candles, volume bars are colored in such a way that they also allow for the visualization of trends during a bullish/bearish move.
The Heikin Ashi Volume indicator allows the trader to continue to use the same volume bar coloring technique to visualize trends without having to utilize the Heikin Ashi candles, since a Heikin Ashi candle’s OHLC values are not true prices but instead based on calculations in order to provide the ‘denoising’ effect they are known for.
In addition to providing the Heikin Ashi Volume coloring effects, the Heikin Ashi Volume indicator also allows the user to set a volume threshold level where the bar colors will be darker unless volume is beyond that threshold, helping traders quickly determine if there is enough participation in the market at that time to justify taking risk in a trade when the market isn’t very active. The user has the option to show or hide the threshold line, change the colors of the bullish/bearish colors (for both above and below threshold volumes) and the option for the indicator to gradually brighten the bar colors are they approach the threshold instead of having a clear line of demarcation showing volume above or below the set threshold.
CVD Divergence & Volume ProfileThis Pine Script indicator, named "CVD Divergence & Volume Profile," is designed to identify potential trading opportunities by combining Cumulative Volume Delta (CVD) divergence with Volume Profile levels and an optional Simple Moving Average (SMA) trend filter. It plots signals directly on the price chart.
Here's a breakdown of what each component does and how to potentially trade with it:
1. Cumulative Volume Delta (CVD) Divergence
What it does: CVD measures the cumulative difference between buying and selling volume. A rising CVD indicates more buying pressure, while a falling CVD indicates more selling pressure. Divergence occurs when the price action contradicts the CVD's direction, suggesting a potential shift in momentum or trend reversal.
Bearish Divergence: The price makes a higher high, but the CVD makes a lower high (or fails to make a new high). This suggests that despite the price increasing, the underlying buying pressure is weakening.
Bullish Divergence: The price makes a lower low, but the CVD makes a higher low (or fails to make a new low). This suggests that despite the price decreasing, the underlying selling pressure is weakening.
Visualization:
Red triangle pointing down on the chart indicates a Bearish Divergence signal.
Green triangle pointing up on the chart indicates a Bullish Divergence signal.
2. Volume Profile Levels (VAH, VAL, POC)
What it does: The indicator calculates simplified Volume Profile levels over a user-defined vp_range (number of candles). These levels represent areas where significant trading activity has occurred:
VAH (Value Area High): The upper boundary of the "Value Area," where 70% of the volume traded.
VAL (Value Area Low): The lower boundary of the "Value Area," where 70% of the volume traded.
POC (Point of Control): The price level within the vp_range where the most volume was traded.
Significance: These levels often act as significant support and resistance zones.
Visualization:
Orange lines for VAH and VAL.
Yellow line for POC.
Zone Proximity (zone_thresh): The indicator only generates divergence signals if the current close price is within a specified percentage zone_thresh of either VAH, VAL, or POC. This filters signals to areas of high liquidity and potential turning points.
3. Trend Filter (SMA)
What it does: This is an optional filter (use_trend_filter) that uses a Simple Moving Average (sma_period, default 200).
Significance: It helps ensure that divergence signals are traded in alignment with the broader market trend, potentially increasing their reliability.
For long signals (bullish divergence), the price (close) must be above the SMA (indicating an uptrend).
For short signals (bearish divergence), the price (close) must be below the SMA (indicating a downtrend).
Visualization: A blue line on the chart representing the SMA.
How to Trade with It (Potential Strategies)
The indicator aims to provide high-probability entry points by combining multiple confirming factors. Here's how you might interpret and trade the signals:
Identify Divergence: Look for the triangle signals on your chart (red for bearish, green for bullish).
Confirm Proximity to Volume Profile Levels: The signal itself confirms that the price is near a significant Volume Profile level (VAH, VAL, or POC). These are areas where price often reacts.
Bullish Signal (Green Triangle): This suggests buying momentum is returning after a price decline, especially when the price is near VAL or POC, which might act as support.
Bearish Signal (Red Triangle): This suggests selling momentum is increasing after a price rally, especially when the price is near VAH or POC, which might act as resistance.
Check Trend Alignment (SMA Filter):
For a long trade: You would ideally want to see a green triangle (bullish divergence) while the price is above the blue SMA line. This indicates a bullish divergence confirming a potential bounce within an existing uptrend.
For a short trade: You would ideally want to see a red triangle (bearish divergence) while the price is below the blue SMA line. This indicates a bearish divergence confirming a potential rejection within an existing downtrend.
Entry and Exit Considerations:
Entry: Consider entering a trade on the candle where the signal appears, or on the subsequent candle for confirmation.
Stop Loss: For a long trade, a logical stop-loss could be placed below the lowest point of the divergence, or below the VAL/POC if the signal occurred near it. For a short trade, above the highest point of the divergence or VAH/POC.
Take Profit: Targets could be set at the opposite Volume Profile level, previous swing highs/lows, or using a fixed risk-reward ratio.
Example Trading Scenario:
Long Trade: You see a green triangle (bullish divergence) printed on the chart. You notice the price is currently at the VAL (orange line). You check the blue SMA line and confirm that the price is above it (uptrend). This confluence of factors (bullish divergence, support at VAL, and uptrend) provides a strong potential long entry signal. You might enter, place your stop loss just below VAL, and target VAH or the next resistance level.
Short Trade: You see a red triangle (bearish divergence). The price is at the VAH (orange line). The price is also below the blue SMA line (downtrend). This suggests a potential short entry. You might enter, place your stop loss just above VAH, and target VAL or the next support level.
Ragi's 24h volumeThis script is a TradingView Pine Script indicator that displays the 24-hour trading volume for a given asset. It provides both the native volume of the asset and, if the asset is not already listed on Binance, also displays the 24-hour volume from Binance (if applicable). Here's a breakdown of the key components:
Volume Calculation:
It sums the volume data over different time frames: 1-minute, 5-minute (for daily charts), or 60-minute intervals.
The volume is calculated based on the asset's volume type (either "quote" volume or a calculated value of close * volume).
For crypto assets, if the volume data is unavailable, it raises an error.
Binance Volume:
If the asset is not from Binance, the script fetches 24-hour volume data from Binance for that symbol, ensuring it is using the correct currency rate.
Display:
The indicator displays a table with the 24-hour volume in the chosen position on the chart (top, middle, or bottom).
The table displays the current exchange's volume, and if applicable, the Binance volume.
The volume is color-coded based on predefined thresholds:
Attention: Displays a warning color for volumes exceeding the attention level.
Warning: Shows an alert color for volumes above the warning threshold.
Normal: Displays in standard color when the volume is lower than the warning level.
The text and background color are customizable, and users can adjust the text size and position of the table.
User Inputs:
The script allows customization of table text size, position, background color, and volume thresholds for attention and warning.
In summary, this indicator is designed to track and display 24-hour volume on a chart, with additional volume information from Binance if necessary, and provides visual cues based on volume levels to help traders quickly assess trading activity.
