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FNGAdataLow“Low prices for FNGA ETF (Dec 2018–May 2025) The Low prices for FNGA ETF (December 2018 – May 2025) capture the lowest trading price reached during each regular U.S. market session over the entire lifespan of this leveraged exchange-traded note. Initially launched under the ticker FNGU, and later rebranded as FNGA in March 2025 before its eventual redemption, the fund was structured to deliver 3x daily leveraged exposure to the MicroSectors FANG+™ Index. This index concentrated on a small basket of leading technology and tech-enabled growth companies such as Meta (Facebook), Amazon, Apple, Netflix, and Alphabet (Google), along with a few other innovators. The Low price is particularly important in the study of FNGA because it highlights the intraday downside extremes of a highly volatile, leveraged product. Since FNGA was designed to reset leverage daily, its lows often reflected moments of amplified market stress, when declines in the underlying FANG+™ stocks were multiplied through the 3x leverage structure.
Biblioteca Pine Script®
por bsouthhh
Low volatility Buy w/ TP & SL (Coinrule)The compression of volatility usually leads to expansion. When the breakout comes, it can ignite strong trends. One way to catch a coin trading in an accumulation area is to spot three moving averages with values close to each other. The strategy uses a combination of Moving Averages to spot the best time to buy a coin before its breakout. Buy Condition The MA200 is greater than the MA100 The MA50 is greater than the MA100 According to backtesting results, the 1-hour time frame is the best to run this strategy. Sell Condition Take Profit: the price increases 8% from the entry price Stop Loss: the price drops 4% from the entry price The strategy has a profitability of 40-60% (depending on the market conditions). Having a ratio of two between Take profit and Stop Loss helps keeping the strategy profitable in the long term.
Estratégia Pine Script®
por Coinrule
Range Lattice## RangeLattice RangeLattice constructs a higher-timeframe scaffolding on any intraday chart, locking in structural highs/lows, mid/quarter grids, VWAP confluence, and live acceptance/break analytics. It provides a non-repainting overlay that turns range management into a disciplined process. HOW IT WORKS Structure Harvesting – Using request.security() , the script samples highs/lows from a user-selected timeframe (default 240 minutes) over a configurable lookback to establish the dominant range. Grid Construction – Midpoint and quarter levels are derived mathematically, mirroring how institutional traders map distribution/accumulation zones. Acceptance Detection – Consecutive closes inside the range flip an acceptance flag and darken the cloud, signaling balanced auction conditions. Break Confirmation – Multi-bar closes outside the structure raise break labels and alerts, filtering the countless fake-outs that plague breakout traders. VWAP Fan Overlay – Session VWAP plus ATR-based bands provide a live measure of flow centering relative to the lattice. HOW TO USE IT Range Plays : Fade taps of the outer rails only when acceptance is active and VWAP sits inside the grid—this is where mean-reversion works best. Breakout Plays : Wait for confirmed break labels before entering expansion trades; the dashboard's Width/ATR metric tells you if the expansion has enough fuel. Market Prep : Carry the same lattice from pre-market into regular trading hours by keeping the structure timeframe fixed; alerts keep you notified even when managing multiple tickers. VISUAL FEATURES Range Tap and Mid Pivot markers provide a tape-reading breadcrumb trail for journaling. Cloud fill opacity tightens when acceptance persists, visually signaling balance compressions ready to break. Dashboard displays absolute width, ATR-normalized width, and current state (Balanced vs Transitional) so you can glance across charts quickly. Acceptance Flag toggle: Keep the repeated acceptance squares hidden until you need to audit balance. PARAMETERS Structure Timeframe (default: 240): Choose the timeframe whose ranges matter most (4H for indices, Daily for stocks). Structure Lookback (default: 60): Bars sampled on the structure timeframe. Acceptance Bars (default: 8): How many consecutive bars inside the range confirm balance. Break Confirmation Bars (default: 3): Bars required outside the range to validate a breakout. ATR Reference (default: 14): ATR period for width normalization. Show Midpoint Grid (default: enabled): Display the midpoint and quarter levels. Show Adaptive VWAP Fan (default: enabled): Toggle the VWAP channel for assets where volume distribution matters most. Show Acceptance Flags (default: disabled): Turn the acceptance markers on/off for maximum visual control. Show Range Dashboard (default: enabled): Disable if screen space is limited, re-enable during prep sessions. ALERTS The indicator includes five alert conditions: Range High Tap: Price interacted with the RangeLattice high Range Low Tap: Price interacted with the RangeLattice low Range Mid Tap: Price interacted with the RangeLattice mid Range Break Up: Confirmed upside breakout Range Break Down: Confirmed downside breakout Where it works best This indicator works best on liquid instruments with clear structural levels. On very low timeframes (1-minute and below), the structure may update too frequently to be useful. The acceptance/break confirmation system requires patience—faster traders may find the multi-bar confirmation too slow for scalping. The VWAP fan is session-based and resets daily, which may not suit all trading styles.
Indicador Pine Script®
por officialjackofalltrades
PubLibCandleTrendLibrary "PubLibCandleTrend" candle trend, multi-part candle trend, multi-part green/red candle trend, double candle trend and multi-part double candle trend conditions for indicator and strategy development chh()   candle higher high condition   Returns: bool chl()   candle higher low condition   Returns: bool clh()   candle lower high condition   Returns: bool cll()   candle lower low condition   Returns: bool cdt()   candle double top condition   Returns: bool cdb()   candle double bottom condition   Returns: bool gc()   green candle condition   Returns: bool gchh()   green candle higher high condition   Returns: bool gchl()   green candle higher low condition   Returns: bool gclh()   green candle lower high condition   Returns: bool gcll()   green candle lower low condition   Returns: bool gcdt()   green candle double top condition   Returns: bool gcdb()   green candle double bottom condition   Returns: bool rc()   red candle condition   Returns: bool rchh()   red candle higher high condition   Returns: bool rchl()   red candle higher low condition   Returns: bool rclh()   red candle lower high condition   Returns: bool rcll()   red candle lower low condition   Returns: bool rcdt()   red candle double top condition   Returns: bool rcdb()   red candle double bottom condition   Returns: bool chh_1p()   1-part candle higher high condition   Returns: bool chh_2p()   2-part candle higher high condition   Returns: bool chh_3p()   3-part candle higher high condition   Returns: bool chh_4p()   4-part candle higher high condition   Returns: bool chh_5p()   5-part candle higher high condition   Returns: bool chh_6p()   6-part candle higher high condition   Returns: bool chh_7p()   7-part candle higher high condition   Returns: bool chh_8p()   8-part candle higher high condition   Returns: bool chh_9p()   9-part candle higher high condition   Returns: bool chh_10p()   10-part candle higher high condition   Returns: bool chh_11p()   11-part candle higher high condition   Returns: bool chh_12p()   12-part candle higher high condition   Returns: bool chh_13p()   13-part candle higher high condition   Returns: bool chh_14p()   14-part candle higher high condition   Returns: bool chh_15p()   15-part candle higher high condition   Returns: bool chh_16p()   16-part candle higher high condition   Returns: bool chh_17p()   17-part candle higher high condition   Returns: bool chh_18p()   18-part candle higher high condition   Returns: bool chh_19p()   19-part candle higher high condition   Returns: bool chh_20p()   20-part candle higher high condition   Returns: bool chh_21p()   21-part candle higher high condition   Returns: bool chh_22p()   22-part candle higher high condition   Returns: bool chh_23p()   23-part candle higher high condition   Returns: bool chh_24p()   24-part candle higher high condition   Returns: bool chh_25p()   25-part candle higher high condition   Returns: bool chh_26p()   26-part candle higher high condition   Returns: bool chh_27p()   27-part candle higher high condition   Returns: bool chh_28p()   28-part candle higher high condition   Returns: bool chh_29p()   29-part candle higher high condition   Returns: bool chh_30p()   30-part candle higher high condition   Returns: bool chl_1p()   1-part candle higher low condition   Returns: bool chl_2p()   2-part candle higher low condition   Returns: bool chl_3p()   3-part candle higher low condition   Returns: bool chl_4p()   4-part candle higher low condition   Returns: bool chl_5p()   5-part candle higher low condition   Returns: bool chl_6p()   6-part candle higher low condition   Returns: bool chl_7p()   7-part candle higher low condition   Returns: bool chl_8p()   8-part candle higher low condition   Returns: bool chl_9p()   9-part candle higher low condition   Returns: bool chl_10p()   10-part candle higher low condition   Returns: bool chl_11p()   11-part candle higher low condition   Returns: bool chl_12p()   12-part candle higher low condition   Returns: bool chl_13p()   13-part candle higher low condition   Returns: bool chl_14p()   14-part candle higher low condition   Returns: bool chl_15p()   15-part candle higher low condition   Returns: bool chl_16p()   16-part candle higher low condition   Returns: bool chl_17p()   17-part candle higher low condition   Returns: bool chl_18p()   18-part candle higher low condition   Returns: bool chl_19p()   19-part candle higher low condition   Returns: bool chl_20p()   20-part candle higher low condition   Returns: bool chl_21p()   21-part candle higher low condition   Returns: bool chl_22p()   22-part candle higher low condition   Returns: bool chl_23p()   23-part candle higher low condition   Returns: bool chl_24p()   24-part candle higher low condition   Returns: bool chl_25p()   25-part candle higher low condition   Returns: bool chl_26p()   26-part candle higher low condition   Returns: bool chl_27p()   27-part candle higher low condition   Returns: bool chl_28p()   28-part candle higher low condition   Returns: bool chl_29p()   29-part candle higher low condition   Returns: bool chl_30p()   30-part candle higher low condition   Returns: bool clh_1p()   1-part candle lower high condition   Returns: bool clh_2p()   2-part candle lower high condition   Returns: bool clh_3p()   3-part candle lower high condition   Returns: bool clh_4p()   4-part candle lower high condition   Returns: bool clh_5p()   5-part candle lower high condition   Returns: bool clh_6p()   6-part candle lower high condition   Returns: bool clh_7p()   7-part candle lower high condition   Returns: bool clh_8p()   8-part candle lower high condition   Returns: bool clh_9p()   9-part candle lower high condition   Returns: bool clh_10p()   10-part candle lower high condition   Returns: bool clh_11p()   11-part candle lower high condition   Returns: bool clh_12p()   12-part candle lower high condition   Returns: bool clh_13p()   13-part candle lower high condition   Returns: bool clh_14p()   14-part candle lower high condition   Returns: bool clh_15p()   15-part candle lower high condition   Returns: bool clh_16p()   16-part candle lower high condition   Returns: bool clh_17p()   17-part candle lower high condition   Returns: bool clh_18p()   18-part candle lower high condition   Returns: bool clh_19p()   19-part candle lower high condition   Returns: bool clh_20p()   20-part candle lower high condition   Returns: bool clh_21p()   21-part candle lower high condition   Returns: bool clh_22p()   22-part candle lower high condition   Returns: bool clh_23p()   23-part candle lower high condition   Returns: bool clh_24p()   24-part candle lower high condition   Returns: bool clh_25p()   25-part candle lower high condition   Returns: bool clh_26p()   26-part candle lower high condition   Returns: bool clh_27p()   27-part candle lower high condition   Returns: bool clh_28p()   28-part candle lower high condition   Returns: bool clh_29p()   29-part candle lower high condition   Returns: bool clh_30p()   30-part candle lower high condition   Returns: bool cll_1p()   1-part candle lower low condition   Returns: bool cll_2p()   2-part candle lower low condition   Returns: bool cll_3p()   3-part candle lower low condition   Returns: bool cll_4p()   4-part candle lower low condition   Returns: bool cll_5p()   5-part candle lower low condition   Returns: bool cll_6p()   6-part candle lower low condition   Returns: bool cll_7p()   7-part candle lower low condition   Returns: bool cll_8p()   8-part candle lower low condition   Returns: bool cll_9p()   9-part candle lower low condition   Returns: bool cll_10p()   10-part candle lower low condition   Returns: bool cll_11p()   11-part candle lower low condition   Returns: bool cll_12p()   12-part candle lower low condition   Returns: bool cll_13p()   13-part candle lower low condition   Returns: bool cll_14p()   14-part candle lower low condition   Returns: bool cll_15p()   15-part candle lower low condition   Returns: bool cll_16p()   16-part candle lower low condition   Returns: bool cll_17p()   17-part candle lower low condition   Returns: bool cll_18p()   18-part candle lower low condition   Returns: bool cll_19p()   19-part candle lower low condition   Returns: bool cll_20p()   20-part candle lower low condition   Returns: bool cll_21p()   21-part candle lower low condition   Returns: bool cll_22p()   22-part candle lower low condition   Returns: bool cll_23p()   23-part candle lower low condition   Returns: bool cll_24p()   24-part candle lower low condition   Returns: bool cll_25p()   25-part candle lower low condition   Returns: bool cll_26p()   26-part candle lower low condition   Returns: bool cll_27p()   27-part candle lower low condition   Returns: bool cll_28p()   28-part candle lower low condition   Returns: bool cll_29p()   29-part candle lower low condition   Returns: bool cll_30p()   30-part candle lower low condition   Returns: bool gc_1p()   1-part green candle condition   Returns: bool gc_2p()   2-part green candle condition   Returns: bool gc_3p()   3-part green candle condition   Returns: bool gc_4p()   4-part green candle condition   Returns: bool gc_5p()   5-part green candle condition   Returns: bool gc_6p()   6-part green candle condition   Returns: bool gc_7p()   7-part green candle condition   Returns: bool gc_8p()   8-part green candle condition   Returns: bool gc_9p()   9-part green candle condition   Returns: bool gc_10p()   10-part green candle condition   Returns: bool gc_11p()   11-part green candle condition   Returns: bool gc_12p()   12-part green candle condition   Returns: bool gc_13p()   13-part green candle condition   Returns: bool gc_14p()   14-part green candle condition   Returns: bool gc_15p()   15-part green candle condition   Returns: bool gc_16p()   16-part green candle condition   Returns: bool gc_17p()   17-part green candle condition   Returns: bool gc_18p()   18-part green candle condition   Returns: bool gc_19p()   19-part green candle condition   Returns: bool gc_20p()   20-part green candle condition   Returns: bool gc_21p()   21-part green candle condition   Returns: bool gc_22p()   22-part green candle condition   Returns: bool gc_23p()   23-part green candle condition   Returns: bool gc_24p()   24-part green candle condition   Returns: bool gc_25p()   25-part green candle condition   Returns: bool gc_26p()   26-part green candle condition   Returns: bool gc_27p()   27-part green candle condition   Returns: bool gc_28p()   28-part green candle condition   Returns: bool gc_29p()   29-part green candle condition   Returns: bool gc_30p()   30-part green candle condition   Returns: bool rc_1p()   1-part red candle condition   Returns: bool rc_2p()   2-part red candle condition   Returns: bool rc_3p()   3-part red candle condition   Returns: bool rc_4p()   4-part red candle condition   Returns: bool rc_5p()   5-part red candle condition   Returns: bool rc_6p()   6-part red candle condition   Returns: bool rc_7p()   7-part red candle condition   Returns: bool rc_8p()   8-part red candle condition   Returns: bool rc_9p()   9-part red candle condition   Returns: bool rc_10p()   10-part red candle condition   Returns: bool rc_11p()   11-part red candle condition   Returns: bool rc_12p()   12-part red candle condition   Returns: bool rc_13p()   13-part red candle condition   Returns: bool rc_14p()   14-part red candle condition   Returns: bool rc_15p()   15-part red candle condition   Returns: bool rc_16p()   16-part red candle condition   Returns: bool rc_17p()   17-part red candle condition   Returns: bool rc_18p()   18-part red candle condition   Returns: bool rc_19p()   19-part red candle condition   Returns: bool rc_20p()   20-part red candle condition   Returns: bool rc_21p()   21-part red candle condition   Returns: bool rc_22p()   22-part red candle condition   Returns: bool rc_23p()   23-part red candle condition   Returns: bool rc_24p()   24-part red candle condition   Returns: bool rc_25p()   25-part red candle condition   Returns: bool rc_26p()   26-part red candle condition   Returns: bool rc_27p()   27-part red candle condition   Returns: bool rc_28p()   28-part red candle condition   Returns: bool rc_29p()   29-part red candle condition   Returns: bool rc_30p()   30-part red candle condition   Returns: bool cdut()   candle double uptrend condition   Returns: bool cddt()   candle double downtrend condition   Returns: bool cdut_1p()   1-part candle double uptrend condition   Returns: bool cdut_2p()   2-part candle double uptrend condition   Returns: bool cdut_3p()   3-part candle double uptrend condition   Returns: bool cdut_4p()   4-part candle double uptrend condition   Returns: bool cdut_5p()   5-part candle double uptrend condition   Returns: bool cdut_6p()   6-part candle double uptrend condition   Returns: bool cdut_7p()   7-part candle double uptrend condition   Returns: bool cdut_8p()   8-part candle double uptrend condition   Returns: bool cdut_9p()   9-part candle double uptrend condition   Returns: bool cdut_10p()   10-part candle double uptrend condition   Returns: bool cdut_11p()   11-part candle double uptrend condition   Returns: bool cdut_12p()   12-part candle double uptrend condition   Returns: bool cdut_13p()   13-part candle double uptrend condition   Returns: bool cdut_14p()   14-part candle double uptrend condition   Returns: bool cdut_15p()   15-part candle double uptrend condition   Returns: bool cdut_16p()   16-part candle double uptrend condition   Returns: bool cdut_17p()   17-part candle double uptrend condition   Returns: bool cdut_18p()   18-part candle double uptrend condition   Returns: bool cdut_19p()   19-part candle double uptrend condition   Returns: bool cdut_20p()   20-part candle double uptrend condition   Returns: bool cdut_21p()   21-part candle double uptrend condition   Returns: bool cdut_22p()   22-part candle double uptrend condition   Returns: bool cdut_23p()   23-part candle double uptrend condition   Returns: bool cdut_24p()   24-part candle double uptrend condition   Returns: bool cdut_25p()   25-part candle double uptrend condition   Returns: bool cdut_26p()   26-part candle double uptrend condition   Returns: bool cdut_27p()   27-part candle double uptrend condition   Returns: bool cdut_28p()   28-part candle double uptrend condition   Returns: bool cdut_29p()   29-part candle double uptrend condition   Returns: bool cdut_30p()   30-part candle double uptrend condition   Returns: bool cddt_1p()   1-part candle double downtrend condition   Returns: bool cddt_2p()   2-part candle double downtrend condition   Returns: bool cddt_3p()   3-part candle double downtrend condition   Returns: bool cddt_4p()   4-part candle double downtrend condition   Returns: bool cddt_5p()   5-part candle double downtrend condition   Returns: bool cddt_6p()   6-part candle double downtrend condition   Returns: bool cddt_7p()   7-part candle double downtrend condition   Returns: bool cddt_8p()   8-part candle double downtrend condition   Returns: bool cddt_9p()   9-part candle double downtrend condition   Returns: bool cddt_10p()   10-part candle double downtrend condition   Returns: bool cddt_11p()   11-part candle double downtrend condition   Returns: bool cddt_12p()   12-part candle double downtrend condition   Returns: bool cddt_13p()   13-part candle double downtrend condition   Returns: bool cddt_14p()   14-part candle double downtrend condition   Returns: bool cddt_15p()   15-part candle double downtrend condition   Returns: bool cddt_16p()   16-part candle double downtrend condition   Returns: bool cddt_17p()   17-part candle double downtrend condition   Returns: bool cddt_18p()   18-part candle double downtrend condition   Returns: bool cddt_19p()   19-part candle double downtrend condition   Returns: bool cddt_20p()   20-part candle double downtrend condition   Returns: bool cddt_21p()   21-part candle double downtrend condition   Returns: bool cddt_22p()   22-part candle double downtrend condition   Returns: bool cddt_23p()   23-part candle double downtrend condition   Returns: bool cddt_24p()   24-part candle double downtrend condition   Returns: bool cddt_25p()   25-part candle double downtrend condition   Returns: bool cddt_26p()   26-part candle double downtrend condition   Returns: bool cddt_27p()   27-part candle double downtrend condition   Returns: bool cddt_28p()   28-part candle double downtrend condition   Returns: bool cddt_29p()   29-part candle double downtrend condition   Returns: bool cddt_30p()   30-part candle double downtrend condition   Returns: bool
Biblioteca Pine Script®
por theEccentricTrader
2
VMDM - Volume, Momentum & Divergence Master [BullByte]VMDM - Volume, Momentum and Divergence Master Educational Multi-Layer Market Structure Analysis System Multi-factor divergence engine that scores RSI momentum, volume pressure, and institutional footprints into one non-repainting confluence rating (0-100). WHAT THIS INDICATOR IS VMDM is an educational indicator designed to teach traders how to recognize high-probability reversal and continuation patterns by analyzing four independent market dimensions simultaneously. Instead of relying on a single indicator that may produce frequent false signals, VMDM creates a confluence-based scoring system that weights multiple confirmation factors, helping you understand which setups have stronger technical backing and which are lower quality. This is NOT a trading system or signal generator. It is a learning tool that visualizes complex market structure concepts in an accessible format for both coders and non-coders. THE PROBLEM IT SOLVES Most traders face these common challenges: Challenge 1 - Indicator Overload: Running RSI, volume analysis, and divergence detection separately creates chart clutter and conflicting signals. You waste time cross-referencing multiple windows trying to determine if all factors align. Challenge 2 - False Divergences: Standard divergence indicators trigger on every minor pivot, creating noise. Many divergences fail because they lack supporting evidence from volume or market structure. Challenge 3 - Missed Context: A bullish RSI divergence means nothing if it occurs during weak volume or in the middle of strong distribution. Context determines quality. Challenge 4 - Repainting Confusion: Many divergence scripts repaint, showing perfect historical signals that never actually triggered in real-time, leading to false confidence. Challenge 5 - Institutional Pattern Recognition: Absorption zones, stop hunts, and exhaustion patterns are taught in trading education but difficult to identify systematically without manual analysis. VMDM addresses all five challenges by combining complementary analytical layers into one transparent, non-repainting, confluence-weighted system with visual clarity. WHY THIS SPECIFIC COMBINATION - MASHUP JUSTIFICATION This indicator is NOT a random mashup of popular indicators. Each of the four layers serves a specific analytical purpose and together they create a complete market structure assessment framework. THE FOUR ANALYTICAL LAYERS LAYER 1 - RSI MOMENTUM DIVERGENCE (Trend Exhaustion Detection) Purpose: Identifies when price momentum is weakening before price itself reverses. Why RSI: The Relative Strength Index measures momentum on a bounded 0-100 scale, making divergence detection mathematically consistent across all assets and timeframes. Unlike raw price oscillators, RSI normalizes momentum regardless of volatility regime. How It Contributes: Divergence between price pivots and RSI pivots reveals early momentum exhaustion. A lower price low with a higher RSI low (bullish regular divergence) signals sellers are losing strength even as price makes new lows. This is the PRIMARY signal generator in VMDM. Limitation If Used Alone: RSI divergence by itself produces many false signals because momentum can remain weak during continued trends. It needs confirmation from volume and structural evidence. LAYER 2 - VOLUME PRESSURE ANALYSIS (Buying vs Selling Intensity) Purpose: Quantifies whether the current bar's volume reflects buying pressure or selling pressure based on where price closed within the bar's range. Methodology: Instead of just measuring volume size, VMDM calculates WHERE in the bar range the close occurred. A close near the high on high volume indicates strong buying absorption. A close near the low indicates selling pressure. The calculation accounts for wick size (wicks reduce pressure quality) and uses percentile ranking over a lookback period to normalize pressure strength on a 0-100 scale. Formula Concept: Buy Pressure = Volume × (Close - Low) / (High - Low) × Wick Quality Factor Sell Pressure = Volume × (High - Close) / (High - Low) × Wick Quality Factor Net Pressure = Buy Pressure - Sell Pressure Pressure Strength = Percentile Rank of Net Pressure over lookback period Why Percentile Ranking: Absolute volume varies by asset and session. Percentile ranking makes 85th percentile pressure on low-volume crypto comparable to 85th percentile pressure on high-volume forex. How It Contributes: When a bullish divergence occurs at a pivot low AND pressure strength is above 60 (strong buying), this adds 25 confluence points. It confirms that the divergence is occurring during actual accumulation, not just weak selling. Limitation If Used Alone: Pressure analysis shows current bar intensity but cannot identify trend exhaustion or reversal timing. High buying pressure can exist during a strong uptrend with no reversal imminent. LAYER 3 - BEHAVIORAL FOOTPRINT PATTERNS (Volume Anomaly Detection) CRITICAL DISCLAIMER: The terms "institutional footprint," "absorption," "stop hunt," and "exhaustion" used in this indicator are EDUCATIONAL LABELS for specific price and volume behavioral patterns. These patterns are detected through technical analysis of publicly available price, volume, and bar structure data. This indicator does NOT have access to actual institutional order flow, market maker data, broker stop-loss locations, or any non-public data source. These pattern names are used because they are common terminology in trading education to describe these technical behaviors. The analysis is interpretive and based on observable price action, not privileged information. Purpose: Detect volume anomalies and price patterns that historically correlate with potential reversal zones or trend continuation failure. Pattern Type 1 - Absorption (Labeled as "ACCUMULATION" or "DISTRIBUTION") Detection Criteria: Volume is more than 2x the moving average AND bar range is less than 50 percent of the average bar range. Interpretation: High volume compressed into a tight range suggests large participants are absorbing supply (accumulation) or distribution (distribution) without allowing price to move significantly. This often precedes directional moves once absorption completes. Visual: Colored box zone highlighting the absorption area. Pattern Type 2 - Stop Hunt (Labeled as "BULL HUNT" or "BEAR HUNT") Detection Criteria: Price penetrates a recent 10-bar high or low by a small margin (0.2 percent), then closes back inside the range on above-average volume (1.5x+). Interpretation: Price briefly spikes beyond recent structure (likely triggering stop losses placed just beyond obvious levels) then reverses. This is a classic false breakout pattern often seen before reversals. Visual: Label at the wick extreme showing hunt direction. Pattern Type 3 - Exhaustion (Labeled as "SELL EXHAUST" or "BUY EXHAUST") Detection Criteria: Lower wick is more than 2.5x the body size with volume above 1.8x average and RSI below 35 (sell exhaustion), OR upper wick more than 2.5x body size with volume above 1.8x average and RSI above 65 (buy exhaustion). Interpretation: Large wicks with high volume and extreme RSI suggest aggressive buying or selling was met with equally aggressive rejection. This exhaustion often marks short-term extremes. Visual: Label showing exhaustion type. How These Contribute: When a divergence forms at a pivot AND one of these behavioral patterns is active, the confluence score increases by 20 points. This confirms the divergence is occurring during structural anomaly activity, not just normal price flow. Limitation If Used Alone: These patterns can occur mid-trend and do not indicate direction without momentum context. Absorption in a strong uptrend may just be continuation accumulation. LAYER 4 - CONFLUENCE SCORING MATRIX (Quality Weighting System) Purpose: Translate all detected conditions into a single 0-100 quality score so you can objectively compare setups. Scoring Breakdown: Divergence Present: +30 points (primary signal) Pressure Confirmation: +25 points (volume supports direction) Behavioral Footprint Active: +20 points (structural anomaly present) RSI Extreme: +15 points (RSI below 30 or above 70 at pivot) Volume Spike: +10 points (current volume above 1.5x average) Maximum Possible Score: 100 points Why These Weights: The weights reflect reliability hierarchy based on backtesting observation. Divergence is the core signal (30 points), but without volume confirmation (25 points) many fail. Behavioral patterns add meaningful context (20 points). RSI extremes and volume spikes are secondary confirmations (15 and 10 points). Quality Tiers: 90-100: TEXTBOOK (all factors aligned) 75-89: HIGH QUALITY (strong confluence) 60-74: VALID (meets minimum threshold) Below 60: DEVELOPING (not displayed unless threshold lowered) How It Contributes: The confluence score allows you to filter noise. You can set your minimum quality threshold in settings. Higher thresholds (75+) show fewer but higher-quality patterns. Lower thresholds (50-60) show more patterns but include lower-confidence setups. This teaches you to distinguish strong setups from weak ones. Limitation: Confluence scoring is historical observation-based, not predictive guarantee. A 95-point setup can still fail. The score represents technical alignment, not future certainty. WHY THIS COMBINATION WORKS TOGETHER Each layer addresses a limitation in the others: RSI Divergence identifies WHEN momentum is exhausting (timing) Volume Pressure confirms WHETHER the exhaustion is accompanied by opposite-side accumulation (confirmation) Behavioral Footprint shows IF structural anomalies support the reversal hypothesis (context) Confluence Scoring weights ALL factors into an objective quality metric (filtering) Using only RSI divergence gives you timing without confirmation. Using only volume pressure gives you intensity without directional context. Using only pattern detection gives you anomalies without trend exhaustion context. Using all four together creates a complete analytical framework where each layer compensates for the others' weaknesses. This is not a mashup for the sake of combining indicators. It is a structured analytical system where each component has a defined role in a multi-dimensional market assessment process. HOW TO READ THE INDICATOR - VISUAL ELEMENTS GUIDE VMDM displays up to five visual layer types. You can enable or disable each layer independently in settings under "Visual Layers." VISUAL LAYER 1 - MARKET STRUCTURE (Pivot Points and Lines) What You See: Small labels at swing highs and lows marked "PH" (Pivot High) and "PL" (Pivot Low) with horizontal dashed lines extending right from each pivot. What It Means: These are CONFIRMED pivots, not real-time. A pivot low appears AFTER the required right-side confirmation bars pass (default 3 bars). This creates a delay but prevents repainting. The pivot only appears once it is mathematically confirmed. The horizontal lines represent support (from pivot lows) and resistance (from pivot highs) levels where price previously found significant rejection. Color Coding: Green label and line: Pivot Low (potential support) Red label and line: Pivot High (potential resistance) How To Use: These pivots are the foundation for divergence detection. Divergence is only calculated between confirmed pivots, ensuring all signals are non-repainting. The lines help you see historical structure levels. VISUAL LAYER 2 - PRESSURE ZONES (Background Color) What You See: Subtle background color shading on bars - light green or light red tint. What It Means: This visualizes volume pressure strength in real-time. Color Coding: Light Green Background: Pressure Strength above 70 (strong buying pressure - price closing near highs on volume) Light Red Background: Pressure Strength below 30 (strong selling pressure - price closing near lows on volume) No Color: Neutral pressure (pressure between 30-70) How To Use: When a bullish divergence pattern appears during green pressure zones, it suggests the divergence is forming during accumulation. When a bearish divergence appears during red zones, distribution is occurring. Pressure zones help you filter divergences - those forming in supportive pressure environments have higher probability. VISUAL LAYER 3 - DIVERGENCE LINES (Dotted Connectors) What You See: Dotted lines connecting two pivot points (either two pivot lows or two pivot highs). What It Means: A divergence has been detected between those two pivots. The line connects the price pivots where RSI showed opposite behavior. Color Coding: Bright Green Line: Bullish divergence (regular or hidden) Bright Red Line: Bearish divergence (regular or hidden) How To Use: The divergence line appears ONLY after the second pivot is confirmed (delayed by right-side confirmation bars). This is intentional to prevent repainting. When you see the line appear, it means: For Bullish Regular Divergence: Price made a lower low (second pivot lower than first) RSI made a higher low (RSI at second pivot higher than first) Interpretation: Downtrend losing momentum For Bullish Hidden Divergence: Price made a higher low (second pivot higher than first) RSI made a lower low (RSI at second pivot lower than first) Interpretation: Uptrend continuation likely (pullback within uptrend) For Bearish Regular Divergence: Price made a higher high (second pivot higher than first) RSI made a lower high (RSI at second pivot lower than first) Interpretation: Uptrend losing momentum For Bearish Hidden Divergence: Price made a lower high (second pivot lower than first) RSI made a higher high (RSI at second pivot higher than first) Interpretation: Downtrend continuation likely (bounce within downtrend) If "Show Consolidated Analysis Label" is disabled, a small label will appear on the divergence line showing the divergence type abbreviation. VISUAL LAYER 4 - BEHAVIORAL FOOTPRINT MARKERS What You See: Boxes, labels, and markers at specific bars showing pattern detection. ABSORPTION ZONES (Boxes): Colored rectangular boxes spanning one or more bars. Purple Box: Accumulation absorption zone (high volume, tight range, bullish close) Red Box: Distribution absorption zone (high volume, tight range, bearish close) If absorption continues for multiple consecutive bars, the box extends and a counter appears in the label showing how many bars the absorption lasted. What It Means: Large volume is being absorbed without significant price movement. This often precedes directional breakouts once the absorption phase completes. STOP HUNT MARKERS (Labels): Small labels below or above wicks labeled "BULL HUNT" or "BEAR HUNT" (may show bar count if consecutive). What It Means: BULL HUNT : Price spiked below recent lows then reversed back up on volume - likely triggered sell stops before reversing BEAR HUNT : Price spiked above recent highs then reversed back down on volume - likely triggered buy stops before reversing EXHAUSTION MARKERS (Labels): Labels showing "SELL EXHAUST" or "BUY EXHAUST." What It Means: SELL EXHAUST : Large lower wick with high volume and low RSI - aggressive selling met with strong rejection BUY EXHAUST : Large upper wick with high volume and high RSI - aggressive buying met with strong rejection How To Use: These markers help you identify WHERE structural anomalies occurred. When a divergence signal appears AT THE SAME TIME as one of these patterns, the confluence score increases. You are looking for alignment - divergence + behavioral pattern + pressure confirmation = high-quality setup. VISUAL LAYER 5 - CONSOLIDATED ANALYSIS LABEL (Main Pattern Signal) What You See: A large label appearing at pivot points (or in real-time mode, at current bar) containing full pattern analysis. Label Appearance: Depending on your "Use Compact Label Format" setting: COMPACT MODE (Single Line): Example: "BULLISH REGULAR | Q:HIGH QUALITY C:82" Breakdown: BULLISH REGULAR: Divergence type detected Q:HIGH QUALITY: Pattern quality tier C:82: Confluence score (82 out of 100) FULL MODE (Multi-Line Detailed): Example: PATTERN DETECTED ------------------- BULLISH REGULAR Quality: HIGH QUALITY Price: Lower Low Momentum: Higher Low Signal: Weakening Downtrend CONFLUENCE: 82/100 ------------------- Divergence: 30 Pressure: 25 Institutional: 20 RSI Extreme: 0 Volume: 10 Breakdown: Top section: Pattern type and quality Middle section: Divergence explanation (what price did vs what RSI did) Bottom section: Confluence score with itemized breakdown showing which factors contributed Label Position: In Confirmed modes: Label appears AT the pivot point (delayed by confirmation bars) In Real-time mode: Label appears at current bar as conditions develop Label Color: Gold: Textbook quality (90+ confluence) Green: High quality (75-89 confluence) Blue: Valid quality (60-74 confluence) How To Use: This is your primary decision-making label. When it appears: Check the divergence type (regular divergences are reversal signals, hidden divergences are continuation signals) Review the quality tier (textbook and high quality have better historical win rates) Examine the confluence breakdown to see which factors are present and which are missing Look at the chart context (trend, support/resistance, timeframe) Use this information to assess whether the setup aligns with your strategy The label does NOT tell you to buy or sell. It tells you a technical pattern has formed and provides the quality assessment. Your trading decision must incorporate risk management, market context, and your strategy rules. UNDERSTANDING THE THREE DETECTION MODES VMDM offers three signal detection modes in settings to accommodate different trading styles and learning objectives. MODE 1: "Confluence Only (Real-Time)" How It Works: Displays signals AS THEY DEVELOP on the current bar without waiting for pivot confirmation. The system calculates confluence score from pressure, volume, RSI extremes, and behavioral patterns. Divergence signals are NOT required in this mode. Delay: ZERO - signals appear immediately. Use Case: Real-time scanning for high-confluence zones without divergence requirement. Useful for intraday traders who want immediate alerts when multiple factors align. Tradeoff: More frequent signals but includes setups without confirmed divergence. Higher false signal rate. Signals can change as the bar develops (not repainting in historical bars, but current bar updates). Visual Behavior: Labels appear at the current bar. No divergence lines unless divergence happens to be present. MODE 2: "Divergence + Confluence (Confirmed)" - DEFAULT RECOMMENDED How It Works: Full system engagement. Signals appear ONLY when: A pivot is confirmed (requires right-side confirmation bars to pass) Divergence is detected between current pivot and previous pivot Total confluence score meets or exceeds your minimum threshold Delay: Equal to your "Pivot Right Bars" setting (default 3 bars). This means signals appear 3 bars AFTER the actual pivot formed. Use Case: Highest-quality, non-repainting signals for swing traders and learners who want to study confirmed pattern completion. Tradeoff: Delayed signals. You will not receive the signal until confirmation occurs. In fast-moving markets, price may have already moved significantly by the time the signal appears. Visual Behavior: Labels appear at the historical pivot location (in the past). Divergence lines connect the two pivots. This is the most educational mode because it shows completed, confirmed patterns. Non-Repainting Guarantee: Yes. Once a signal appears, it never disappears or changes. MODE 3: "Divergence + Confluence (Relaxed)" How It Works: Same as Confirmed mode but with adaptive thresholds. If confluence is very high (10 points above threshold), the signal may appear even if some factors are weak. If divergence is present but confluence is slightly below threshold (within 10 points), it may still appear. Delay: Same as Confirmed mode (right-side confirmation bars). Use Case: Slightly more signals than Confirmed mode for traders willing to accept near-threshold setups. Tradeoff: More signals but lower average quality than Confirmed mode. Visual Behavior: Same as Confirmed mode. DASHBOARD GUIDE - READING THE METRICS The dashboard appears in the corner of your chart (position selectable in settings) and provides real-time market state analysis. You can choose between four dashboard detail levels in settings: Off, Compact, Optimized (default), Full. DASHBOARD ROW EXPLANATIONS ROW 1 - Header Information Left: Current symbol and timeframe Center: "VMDM " Right: Version number ROW 2 - Mode and Delay Shows which detection mode you are using and the signal delay. Example: "CONFIRMED | Delay: 3 bars" This reminds you that signals in confirmed mode appear 3 bars after the pivot forms. ROW 3 - Market Regime Format: "TREND UP HV" or "RANGING NV" First Part - Trend State: TREND UP: 20 EMA above 50 EMA with strong separation TREND DOWN: 20 EMA below 50 EMA with strong separation RANGING: EMAs close together, low trend strength TRANSITION: Between trending and ranging states Second Part - Volatility State: HV: High Volatility (current ATR more than 1.3x the 50-bar average ATR) NV: Normal Volatility (current ATR between 0.7x and 1.3x average) LV: Low Volatility (current ATR less than 0.7x average) Third Column: Volatility ratio (example: "1.45x" means current ATR is 1.45 times normal) How To Use: Regime context helps you interpret signals. Reversal divergences are more reliable in ranging or transitional regimes. Continuation divergences (hidden) are more reliable in trending regimes. High volatility means wider stops may be needed. ROW 4 - Pressure Shows current volume pressure state. Format: "BUYING | ██████████░░░░░░░░░" States: BUYING : Pressure strength above 60 (closes near highs) SELLING : Pressure strength below 40 (closes near lows) NEUTRAL : Pressure strength between 40-60 Bar Visualization: Each block represents 10 percentile points. A full bar (10 filled blocks) = 100th percentile pressure. Color: Green for buying, red for selling, gray for neutral. How To Use: When pressure aligns with divergence direction (bullish divergence during buying pressure), confluence is stronger. ROW 5 - Volume and RSI Format: "1.8x | RSI 68 | OB" First Value: Current volume ratio (1.8x = volume is 1.8 times the moving average) Second Value: Current RSI reading Third Value: RSI state OB: Overbought (RSI above 70) OS: Oversold (RSI below 30) Blank: Neutral RSI How To Use: Volume spikes (above 1.5x) during divergence formation add confluence. RSI extremes at pivots add confluence. ROW 6 - Behavioral Footprint Format: "BULL HUNT | 2 bars" Shows the most recent behavioral pattern detected and how long ago. States: ACCUMULATION / DISTRIBUTION: Absorption detected BULL HUNT / BEAR HUNT: Stop hunt detected SELL EXHAUST / BUY EXHAUST: Exhaustion detected SCANNING: No recent pattern NOW: Pattern is active on current bar How To Use: When footprint activity is recent (within 50 bars) or active now, it adds context to divergence signals forming in that area. ROW 7 - Current Pattern Shows the divergence type currently detected (if any). Examples: "BULLISH REGULAR", "BEARISH HIDDEN", "Scanning..." Quality: Shows pattern quality (TEXTBOOK, HIGH QUALITY, VALID) How To Use: This tells you what type of signal is active. Regular divergences are reversal setups. Hidden divergences are continuation setups. ROW 8 - Session Summary Format: "14 events | A3 H8 E3" First Value: Total institutional events this session Breakdown: A: Absorption events H: Stop hunt events E: Exhaustion events How To Use: High event counts suggest an active, volatile session with frequent structural anomalies. Low counts suggest quiet, orderly price action. ROW 9 - Confluence Score (Optimized/Full mode only) Format: "78/100 | ████████░░" Shows current real-time confluence score even if no pattern is confirmed yet. How To Use: Watch this in real-time to see how close you are to pattern formation. When it exceeds your threshold and divergence forms, a signal will appear (after confirmation delay). ROW 10 - Patterns Studied (Optimized/Full mode only) Format: "47 patterns | 12 bars ago" First Value: Total confirmed patterns detected since chart loaded Second Value: How many bars since the last confirmed pattern appeared How To Use: Helps you understand pattern frequency on your selected symbol and timeframe. If many bars have passed since last pattern, market may be trending without reversal opportunities. ROW 11 - Bull/Bear Ratio (Optimized/Full mode only) Format: "28:19 | BULL" Shows count of bullish vs bearish patterns detected. Balance: BULL: More bullish patterns detected (suggests market has had more bullish reversals/continuations) BEAR: More bearish patterns detected BAL: Equal counts How To Use: Extreme imbalances can indicate directional bias in the studied period. A heavily bullish ratio in a downtrend might suggest frequent failed rallies (bearish continuation). Context matters. ROW 12 - Volume Ratio Detail (Optimized/Full mode only) Shows current volume vs average volume in absolute terms. Example: "1.4x | 45230 / 32300" How To Use: Confirms whether current activity is above or below normal. ROW 13 - Last Institutional Event (Full mode only) Shows the most recent institutional pattern type and how many bars ago it occurred. Example: "DISTRIBUTION | 23 bars" How To Use: Tracks recency of last anomaly for context. SETTINGS GUIDE - EVERY PARAMETER EXPLAINED PERFORMANCE SECTION Enable All Visuals (Master Toggle) Default: ON What It Does: Master kill switch for ALL visual elements (labels, lines, boxes, background colors, dashboard). When OFF, only plot outputs remain (invisible unless you open data window). When To Change: Turn OFF on mobile devices, 1-second charts, or slow computers to improve performance. You can still receive alerts even with visuals disabled. Impact: Dramatic performance improvement when OFF, but you lose all visual feedback. Maximum Object History Default: 50 | Range: 10-100 What It Does: Limits how many of each object type (labels, lines, boxes) are kept in memory. Older objects beyond this limit are deleted. When To Change: Lower to 20-30 on fast timeframes (1-minute charts) to prevent slowdown. Increase to 100 on daily charts if you want more historical pattern visibility. Impact: Lower values = better performance but less historical visibility. Higher values = more history visible but potential slowdown on fast timeframes. Alert Cooldown (Bars) Default: 5 | Range: 1-50 What It Does: Minimum number of bars that must pass before another alert of the same type can fire. Prevents alert spam when multiple patterns form in quick succession. When To Change: Increase to 20+ on 1-minute charts to reduce noise. Decrease to 1-2 on daily charts if you want every pattern alerted. Impact: Higher cooldown = fewer alerts. Lower cooldown = more alerts. USER EXPERIENCE SECTION Show Enhanced Tooltips Default: ON What It Does: Enables detailed hover-over tooltips on labels and visual elements. When To Change: Turn OFF if you encounter Pine Script compilation errors related to tooltip arguments (rare, platform-specific issue). Impact: Minimal. Just adds helpful hover text. MARKET STRUCTURE DETECTION SECTION Pivot Left Bars Default: 3 | Range: 2-10 What It Does: Number of bars to the LEFT of the center bar that must be higher (for pivot low) or lower (for pivot high) than the center bar for a pivot to be valid. Example: With value 3, a pivot low requires the center bar's low to be lower than the 3 bars to its left. When To Change: Increase to 5-7 on noisy timeframes (1-minute charts) to filter insignificant pivots Decrease to 2 on slow timeframes (daily charts) to catch more pivots Impact: Higher values = fewer, more significant pivots = fewer signals. Lower values = more frequent pivots = more signals but more noise. Pivot Right Bars Default: 3 | Range: 2-10 What It Does: Number of bars to the RIGHT of the center bar that must pass for confirmation. This creates the non-repainting delay. Example: With value 3, a pivot is confirmed 3 bars AFTER it forms. When To Change: Increase to 5-7 for slower, more confirmed signals (better for swing trading) Decrease to 2 for faster signals (better for intraday, but still non-repainting) Impact: Higher values = longer delay but more reliable confirmation. Lower values = faster signals but less confirmation. This setting directly controls your signal delay in Confirmed and Relaxed modes. Minimum Confluence Score Default: 60 | Range: 40-95 What It Does: The threshold score required for a pattern to be displayed. Patterns with confluence scores below this threshold are not shown. When To Change: Increase to 75+ if you only want high-quality textbook setups (fewer signals) Decrease to 50-55 if you want to see more developing patterns (more signals, lower average quality) Impact: This is your primary signal filter. Higher threshold = fewer, higher-quality signals. Lower threshold = more signals but includes weaker setups. Recommended starting point is 60-65. TECHNICAL PERIODS SECTION RSI Period Default: 14 | Range: 5-50 What It Does: Lookback period for RSI calculation. When To Change: Decrease to 9-10 for faster, more sensitive RSI that detects shorter-term momentum changes Increase to 21-28 for slower, smoother RSI that filters noise Impact: Lower values make RSI more volatile (more frequent extremes and divergences). Higher values make RSI smoother (fewer but more significant divergences). 14 is industry standard. Volume Moving Average Period Default: 20 | Range: 10-200 What It Does: Lookback period for calculating average volume. Current volume is compared to this average to determine volume ratio. When To Change: Decrease to 10-14 for shorter-term volume comparison (more sensitive to recent volume changes) Increase to 50-100 for longer-term volume comparison (smoother, less sensitive) Impact: Lower values make volume ratio more volatile. Higher values make it more stable. 20 is standard. ATR Period Default: 14 | Range: 5-100 What It Does: Lookback period for Average True Range calculation used for volatility measurement and label positioning. When To Change: Rarely needs adjustment. Use 7-10 for faster volatility response, 21-28 for slower. Impact: Affects volatility ratio calculation and visual label spacing. Minimal impact on signals. Pressure Percentile Lookback Default: 50 | Range: 10-300 What It Does: Lookback period for calculating volume pressure percentile ranking. Your current pressure is ranked against the pressure of the last X bars. When To Change: Decrease to 20-30 for shorter-term pressure context (more responsive to recent changes) Increase to 100-200 for longer-term pressure context (smoother rankings) Impact: Lower values make pressure strength more sensitive to recent bars. Higher values provide more stable, long-term pressure assessment. Capped at 300 for performance reasons. SIGNAL DETECTION SECTION Signal Detection Mode Default: "Divergence + Confluence (Confirmed)" Options: Confluence Only (Real-time) Divergence + Confluence (Confirmed) Divergence + Confluence (Relaxed) What It Does: Selects which detection logic mode to use (see "Understanding The Three Detection Modes" section above). When To Change: Use Confirmed for learning and non-repainting signals. Use Real-time for live scanning without divergence requirement. Use Relaxed for slightly more signals than Confirmed. Impact: Fundamentally changes when and how signals appear. VISUAL LAYERS SECTION All toggles default to ON. Each controls visibility of one visual layer: Show Market Structure: Pivot markers and support/resistance lines Show Pressure Zones: Background color shading Show Divergence Lines: Dotted lines connecting pivots Show Institutional Footprint Markers: Absorption boxes, hunt labels, exhaustion labels Show Consolidated Analysis Label: Main pattern detection label Use Compact Label Format Default: OFF What It Does: Switches consolidated label between single-line compact format and multi-line detailed format. When To Change: Turn ON if you find full labels too large or distracting. Impact: Visual clarity vs. information density tradeoff. DASHBOARD SECTION Dashboard Mode Default: "Optimized" Options: Off, Compact, Optimized, Full What It Does: Controls how much information the dashboard displays. Off: No dashboard Compact: 8 rows (essential metrics only) Optimized: 12 rows (recommended balance) Full: 13 rows (every available metric) Dashboard Position Default: "Top Right" Options: Top Right, Top Left, Bottom Right, Bottom Left What It Does: Screen corner where dashboard appears. HOW TO USE VMDM - PRACTICAL WORKFLOW STEP 1 - INITIAL SETUP Add VMDM to your chart Select your detection mode (Confirmed recommended for learning) Set your minimum confluence score (start with 60-65) Adjust pivot parameters if needed (default 3/3 is good for most timeframes) Enable the visual layers you want to see STEP 2 - CHART ANALYSIS Let the indicator load and analyze historical data Review the patterns that appear historically Examine the confluence scores - notice which patterns had higher scores Observe which patterns occurred during supportive pressure zones Notice the divergence line connections - understand what price vs RSI did STEP 3 - PATTERN RECOGNITION LEARNING When a consolidated analysis label appears: Read the divergence type (regular or hidden, bullish or bearish) Check the quality tier (textbook, high quality, or valid) Review the confluence breakdown - which factors contributed Look at the chart context - where is price relative to structure, trend, etc. Observe the behavioral footprint markers nearby - do they support the pattern STEP 4 - REAL-TIME MONITORING Watch the dashboard for real-time regime and pressure state Monitor the current confluence score in the dashboard When it approaches your threshold, be alert for potential pattern formation When a new pattern appears (after confirmation delay), evaluate it using the workflow above Use your trading strategy rules to decide if the setup aligns with your criteria STEP 5 - POST-PATTERN OBSERVATION After a pattern appears: Mark the level on your chart Observe what price does after the pattern completes Did price respect the reversal/continuation signal What was the confluence score of patterns that worked vs. those that failed Learn which quality tiers and confluence levels produce better results on your specific symbol and timeframe RECOMMENDED TIMEFRAMES AND ASSET CLASSES VMDM is timeframe-agnostic and works on any asset with volume data. However, optimal performance varies: BEST TIMEFRAMES 15-Minute to 1-Hour: Ideal balance of signal frequency and reliability. Pivot confirmation delay is acceptable. Sufficient volume data for pressure analysis. 4-Hour to Daily: Excellent for swing trading. Very high-quality signals. Lower frequency but higher significance. Recommended for learning because patterns are clearer. 1-Minute to 5-Minute: Works but requires adjustment. Increase pivot bars to 5-7 for filtering. Decrease max object history to 30 for performance. Expect more noise. Weekly/Monthly: Works but very infrequent signals. Increase confluence threshold to 70+ to ensure only major patterns appear. BEST ASSET CLASSES Forex Majors: Excellent volume data and clear trends. Pressure analysis works well. Crypto (Major Pairs): Good volume data. High volatility makes divergences more pronounced. Works very well. Stock Indices (SPY, QQQ, etc.): Excellent. Clean price action and reliable volume. Individual Stocks: Works well on high-volume stocks. Low-volume stocks may produce unreliable pressure readings. Commodities (Gold, Oil, etc.): Works well. Clear trends and reactions. WHAT THIS INDICATOR CANNOT DO - LIMITATIONS LIMITATION 1 - It Does Not Predict The Future VMDM identifies when technical conditions align historically associated with potential reversals or continuations. It does not predict what will happen next. A textbook 95-confluence pattern can still fail if fundamental events, news, or larger timeframe structure override the setup. LIMITATION 2 - Confirmation Delay Means You Miss Early Entry In Confirmed and Relaxed modes, the non-repainting design means you receive signals AFTER the pivot is confirmed. Price may have already moved significantly by the time you receive the signal. This is the tradeoff for non-repainting reliability. You can use Real-time mode for faster signals but sacrifice divergence confirmation. LIMITATION 3 - It Does Not Tell You Position Sizing or Risk Management VMDM provides technical pattern analysis. It does not calculate stop loss levels, take profit targets, or position sizing. You must apply your own risk management rules. Never risk more than you can afford to lose based on a technical signal. LIMITATION 4 - Volume Pressure Analysis Requires Reliable Volume Data On assets with thin volume or unreliable volume reporting, pressure analysis may be inaccurate. Stick to major liquid assets with consistent volume data. LIMITATION 5 - It Cannot Detect Fundamental Events VMDM is purely technical. It cannot predict earnings reports, central bank decisions, geopolitical events, or other fundamental catalysts that can override technical patterns. LIMITATION 6 - Divergence Requires Two Pivots The indicator cannot detect divergence until at least two pivots of the same type have formed. In strong trends without pullbacks, you may go long periods without signals. LIMITATION 7 - Institutional Pattern Names Are Interpretive The behavioral footprint patterns are named using common trading education terminology, but they are detected through technical analysis, not actual institutional data access. The patterns are interpretations based on price and volume behavior. CONCEPT FOUNDATION - WHY THIS APPROACH WORKS MARKET PRINCIPLE 1 - Momentum Divergence Precedes Price Reversal Price is the final output of market forces, but momentum (the rate of change in those forces) shifts first. When price makes a new low but the momentum behind that move is weaker (higher RSI low), it signals that sellers are losing strength even though they temporarily pushed price lower. This precedes reversal. This is a fundamental principle in technical analysis taught by Charles Dow, widely observed in market behavior. MARKET PRINCIPLE 2 - Volume Reveals Conviction Price can move on low volume (low conviction) or high volume (high conviction). When price makes a new low on declining volume while RSI shows improving momentum, it suggests the new low is not confirmed by participant conviction. Adding volume pressure analysis to momentum divergence adds a confirmation layer that filters false divergences. MARKET PRINCIPLE 3 - Anomalies Mark Structural Extremes When volume spikes significantly but range contracts (absorption), or when price spikes beyond structure then reverses (stop hunt), or when aggressive moves are met with large-wick rejection (exhaustion), these anomalies often mark short-term extremes. Combining these structural observations with momentum analysis creates context. MARKET PRINCIPLE 4 - Confluence Improves Probability No single technical factor is reliable in isolation. RSI divergence alone fails frequently. Volume analysis alone cannot time entries. Combining multiple independent factors into a weighted system increases the probability that observed patterns have structural significance rather than random noise. THE EDUCATIONAL VALUE By visualizing all four layers simultaneously and breaking down the confluence scoring transparently, VMDM teaches you to think in terms of multi-dimensional analysis rather than single-indicator reliance. Over time, you will learn to recognize these patterns manually and understand which combinations produce better results on your traded assets. INSTITUTIONAL TERMINOLOGY - IMPORTANT CLARIFICATION This indicator uses the following terms that are common in trading education: Institutional Footprint Absorption (Accumulation / Distribution) Stop Hunt Exhaustion CRITICAL DISCLAIMER: These terms are EDUCATIONAL LABELS for specific price action and volume behavior patterns detected through technical analysis of publicly available chart data (open, high, low, close, volume). This indicator does NOT have access to: Actual institutional order flow or order book data Market maker positions or intentions Broker stop-loss databases Non-public trading data Proprietary institutional information The patterns labeled as "institutional footprint" are interpretations based on observable price and volume behavior that educational trading literature often associates with potential large-participant activity. The detection is algorithmic pattern recognition, not privileged data access. When this indicator identifies "absorption," it means it detected high volume within a small range - a condition that MAY indicate large orders being filled but is not confirmation of actual institutional participation. When it identifies a "stop hunt," it means price briefly penetrated a structural level then reversed - a pattern that MAY have triggered stop losses but is not confirmation that stops were specifically targeted. When it identifies "exhaustion," it means high volume with large rejection wicks - a pattern that MAY indicate aggressive participation meeting strong opposition but is not confirmation of institutional involvement. These are technical analysis interpretations, not factual statements about market participant identity or intent. DISCLAIMER AND RISK WARNING EDUCATIONAL PURPOSE ONLY This indicator is designed as an educational tool to help traders learn to recognize technical patterns, understand multi-factor analysis, and practice systematic market observation. It is NOT a trading system, signal service, or financial advice. NO PERFORMANCE GUARANTEE Past pattern behavior does not guarantee future results. A pattern that historically preceded price movement in one direction may fail in the future due to changing market conditions, fundamental events, or random variance. Confluence scores reflect historical technical alignment, not future certainty. TRADING INVOLVES SUBSTANTIAL RISK Trading financial instruments involves substantial risk of loss. You can lose more than your initial investment. Never trade with money you cannot afford to lose. Always use proper risk management including stop losses, position sizing, and portfolio diversification. NO PREDICTIVE CLAIMS This indicator does NOT predict future price movement. It identifies when technical conditions align in patterns that historically have been associated with potential reversals or continuations. Market behavior is probabilistic, not deterministic. BACKTESTING LIMITATIONS If you backtest trading strategies using this indicator, ensure you account for: Realistic commission costs Realistic slippage (difference between signal price and actual fill price) Sufficient sample size (minimum 100 trades for statistical relevance) Reasonable position sizing (risking no more than 1-2 percent of account per trade) The confirmation delay inherent in the indicator (you cannot enter at the exact pivot in Confirmed mode) Backtests that do not account for these factors will produce unrealistic results. AUTHOR LIABILITY The author (BullByte) is not responsible for any trading losses incurred using this indicator. By using this indicator, you acknowledge that all trading decisions are your sole responsibility and that you understand the risks involved. NOT FINANCIAL ADVICE Nothing in this indicator, its code, its description, or its visual outputs constitutes financial, investment, or trading advice. Consult a licensed financial advisor before making investment decisions. FREQUENTLY ASKED QUESTIONS Q: Why do signals appear in the past, not at the current bar A: In Confirmed and Relaxed modes, signals appear at confirmed pivots, which requires waiting for right-side confirmation bars (default 3). This creates a delay but prevents repainting. Use Real-time mode if you want current-bar signals without pivot confirmation. Q: Can I use this for automated trading A: You can create alert-based automation, but understand that Confirmed mode signals appear AFTER the pivot with delay, so your entry will not be at the pivot price. Real-time mode signals can change as the current bar develops. Automation requires careful consideration of these factors. Q: How do I know which confluence score to use A: Start with 60. Observe which patterns work on your symbol/timeframe. If too many false signals, increase to 70-75. If too few signals, decrease to 55. Quality vs. quantity tradeoff. Q: Do regular divergences mean I should enter a reversal trade immediately A: No. Regular divergences indicate momentum exhaustion, which is a WARNING sign that trend may reverse, not a confirmation that it will. Use confluence score, market context, support/resistance, and your strategy rules to make entry decisions. Many divergences fail. Q: What's the difference between regular and hidden divergence A: Regular divergence = price and momentum move in opposite directions at extremes = potential reversal signal. Hidden divergence = price and momentum move in opposite directions during pullbacks = potential continuation signal. Hidden divergence suggests the pullback is just a correction within the larger trend. Q: Why does the pressure zone color sometimes conflict with the divergence direction A: Pressure is real-time current bar analysis. Divergence is confirmed pivot analysis from the past. They measure different things at different times. A bullish divergence confirmed 3 bars ago might appear during current selling pressure. This is normal. Q: Can I use this on stocks without volume data A: No. Volume is required for pressure analysis and behavioral pattern detection. Use only on assets with reliable volume reporting. Q: How often should I expect signals A: Depends on timeframe and settings. Daily charts might produce 5-10 signals per month. 1-hour charts might produce 20-30. 15-minute charts might produce 50-100. Adjust confluence threshold to control frequency. Q: Can I modify the code A: Yes, this is open source. You can modify for personal use. If you publish a modified version, please credit the original and ensure your publication meets TradingView guidelines. Q: What if I disagree with a pattern's confluence score A: The scoring weights are based on general observations and may not suit your specific strategy or asset. You can modify the code to adjust weights if you have data-driven reasons to do so. Final Notes VMDM - Volume, Momentum and Divergence Master is an educational multi-layer market analysis system designed to teach systematic pattern recognition through transparent, confluence-weighted signal detection. By combining RSI momentum divergence, volume pressure quantification, behavioral footprint pattern recognition, and quality scoring into a unified framework, it provides a comprehensive learning environment for understanding market structure. Use this tool to develop your analytical skills, understand how multiple technical factors interact, and learn to distinguish high-quality setups from noise. Remember that technical analysis is probabilistic, not predictive. No indicator replaces proper education, risk management, and trading discipline. Trade responsibly. Learn continuously. Risk only what you can afford to lose. -BullByte
Indicador Pine Script®
por BullByte
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