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Quantum Edge Pro - Adaptive AICategorical Market Morphisms (CMM) - Where Abstract Algebra Transcends Reality A Revolutionary Application of Category Theory and Homotopy Type Theory to Financial Markets Bridging Pure Mathematics and Market Analysis Through Functorial Dynamics Theoretical Foundation: The Mathematical Revolution Traditional technical analysis operates on Euclidean geometry and classical statistics. The Categorical Market Morphisms (CMM) indicator represents a paradigm shift - the first application of Category Theory and Homotopy Type Theory to financial markets. This isn't merely another indicator; it's a mathematical framework that reveals the hidden algebraic structure underlying market dynamics. Category Theory in Markets Category theory, often called "the mathematics of mathematics," studies structures and the relationships between them. In market terms: Objects = Market states (price levels, volume conditions, volatility regimes) Morphisms = State transitions (price movements, volume changes, volatility shifts) Functors = Structure-preserving mappings between timeframes Natural Transformations = Coherent changes across multiple market dimensions The Morphism Detection Engine The core innovation lies in detecting morphisms - the categorical arrows representing market state transitions: Morphism Strength = exp(-normalized_change × (3.0 / sensitivity)) Threshold = 0.3 - (sensitivity - 1.0) × 0.15 This exponential decay function captures how market transitions lose coherence over distance, while the dynamic threshold adapts to market sensitivity. Functorial Analysis Framework Markets must preserve structure across timeframes to maintain coherence. Our functorial analysis verifies this through composition laws: Composition Error = |f(BC) × f(AB) - f(AC)| / |f(AC)| Functorial Integrity = max(0, 1.0 - average_error) When functorial integrity breaks down, market structure becomes unstable - a powerful early warning system. Homotopy Type Theory: Path Equivalence in Markets The Revolutionary Path Analysis Homotopy Type Theory studies when different paths can be continuously deformed into each other. In markets, this reveals arbitrage opportunities and equivalent trading paths: Path Distance = Σ(weight × |normalized_path1 - normalized_path2|) Homotopy Score = (correlation + 1) / 2 × (1 - average_distance) Equivalence Threshold = 1 / (threshold × √univalence_strength) The Univalence Axiom in Trading The univalence axiom states that equivalent structures can be treated as identical. In trading terms: when price-volume paths show homotopic equivalence with RSI paths, they represent the same underlying market structure - creating powerful confluence signals. Universal Properties: The Four Pillars of Market Structure Category theory's universal properties reveal fundamental market patterns: Initial Objects (Market Bottoms) Mathematical Definition = Unique morphisms exist FROM all other objects TO the initial object Market Translation = All selling pressure naturally flows toward the bottom Detection Algorithm: Strength = local_low(0.3) + oversold(0.2) + volume_surge(0.2) + momentum_reversal(0.2) + morphism_flow(0.1) Signal = strength > 0.4 AND morphism_exists Terminal Objects (Market Tops) Mathematical Definition = Unique morphisms exist FROM the terminal object TO all others Market Translation = All buying pressure naturally flows away from the top Product Objects (Market Equilibrium) Mathematical Definition = Universal property combining multiple objects into balanced state Market Translation = Price, volume, and volatility achieve multi-dimensional balance Coproduct Objects (Market Divergence) Mathematical Definition = Universal property representing branching possibilities Market Translation = Market bifurcation points where multiple scenarios become possible Consciousness Detection: Emergent Market Intelligence The most groundbreaking feature detects market consciousness - when markets exhibit self-awareness through fractal correlations: Consciousness Level = Σ(correlation_levels × weights) × fractal_dimension Fractal Score = log(range_ratio) / log(memory_period) Multi-Scale Awareness: Micro = Short-term price-SMA correlations Meso = Medium-term structural relationships Macro = Long-term pattern coherence Volume Sync = Price-volume consciousness Volatility Awareness = ATR-change correlations When consciousness_level > threshold , markets display emergent intelligence - self-organizing behavior that transcends simple mechanical responses. Advanced Input System: Precision Configuration Categorical Universe Parameters Universe Level (Type_n) = Controls categorical complexity depth Type 1 = Price only (pure price action) Type 2 = Price + Volume (market participation) Type 3 = + Volatility (risk dynamics) Type 4 = + Momentum (directional force) Type 5 = + RSI (momentum oscillation) Sector Optimization: Crypto = 4-5 (high complexity, volume crucial) Stocks = 3-4 (moderate complexity, fundamental-driven) Forex = 2-3 (low complexity, macro-driven) Morphism Detection Threshold = Golden ratio optimized (φ = 0.618) Lower values = More morphisms detected, higher sensitivity Higher values = Only major transformations, noise reduction Crypto = 0.382-0.618 (high volatility accommodation) Stocks = 0.618-1.0 (balanced detection) Forex = 1.0-1.618 (macro-focused) Functoriality Tolerance = φ⁻² = 0.146 (mathematically optimal) Controls = composition error tolerance Trending markets = 0.1-0.2 (strict structure preservation) Ranging markets = 0.2-0.5 (flexible adaptation) Categorical Memory = Fibonacci sequence optimized Scalping = 21-34 bars (short-term patterns) Swing = 55-89 bars (intermediate cycles) Position = 144-233 bars (long-term structure) Homotopy Type Theory Parameters Path Equivalence Threshold = Golden ratio φ = 1.618 Volatile markets = 2.0-2.618 (accommodate noise) Normal conditions = 1.618 (balanced) Stable markets = 0.786-1.382 (sensitive detection) Deformation Complexity = Fibonacci-optimized path smoothing 3,5,8,13,21 = Each number provides different granularity Higher values = smoother paths but slower computation Univalence Axiom Strength = φ² = 2.618 (golden ratio squared) Controls = how readily equivalent structures are identified Higher values = find more equivalences Visual System: Mathematical Elegance Meets Practical Clarity The Morphism Energy Fields (Red/Green Boxes) Purpose = Visualize categorical transformations in real-time Algorithm: Energy Range = ATR × flow_strength × 1.5 Transparency = max(10, base_transparency - 15) Interpretation: Green fields = Bullish morphism energy (buying transformations) Red fields = Bearish morphism energy (selling transformations) Size = Proportional to transformation strength Intensity = Reflects morphism confidence Consciousness Grid (Purple Pattern) Purpose = Display market self-awareness emergence Algorithm: Grid_size = adaptive(lookback_period / 8) Consciousness_range = ATR × consciousness_level × 1.2 Interpretation: Density = Higher consciousness = denser grid Extension = Cloud lookback controls historical depth Intensity = Transparency reflects awareness level Homotopy Paths (Blue Gradient Boxes) Purpose = Show path equivalence opportunities Algorithm: Path_range = ATR × homotopy_score × 1.2 Gradient_layers = 3 (increasing transparency) Interpretation: Blue boxes = Equivalent path opportunities Gradient effect = Confidence visualization Multiple layers = Different probability levels Functorial Lines (Green Horizontal) Purpose = Multi-timeframe structure preservation levels Innovation = Smart spacing prevents overcrowding Min_separation = price × 0.001 (0.1% minimum) Max_lines = 3 (clarity preservation) Features: Glow effect = Background + foreground lines Adaptive labels = Only show meaningful separations Color coding = Green (preserved), Orange (stressed), Red (broken) Signal System: Bull/Bear Precision 🐂 Initial Objects = Bottom formations with strength percentages 🐻 Terminal Objects = Top formations with confidence levels ⚪ Product/Coproduct = Equilibrium circles with glow effects Professional Dashboard System Main Analytics Dashboard (Top-Right) Market State = Real-time categorical classification INITIAL OBJECT = Bottom formation active TERMINAL OBJECT = Top formation active PRODUCT STATE = Market equilibrium COPRODUCT STATE = Divergence/bifurcation ANALYZING = Processing market structure Universe Type = Current complexity level and components Morphisms: ACTIVE (X%) = Transformations detected, percentage shows strength DORMANT = No significant categorical changes Functoriality: PRESERVED (X%) = Structure maintained across timeframes VIOLATED (X%) = Structure breakdown, instability warning Homotopy: DETECTED (X%) = Path equivalences found, arbitrage opportunities NONE = No equivalent paths currently available Consciousness: ACTIVE (X%) = Market self-awareness emerging, major moves possible EMERGING (X%) = Consciousness building DORMANT = Mechanical trading only Signal Monitor & Performance Metrics (Left Panel) Active Signals Tracking: INITIAL = Count and current strength of bottom signals TERMINAL = Count and current strength of top signals PRODUCT = Equilibrium state occurrences COPRODUCT = Divergence event tracking Advanced Performance Metrics: CCI (Categorical Coherence Index): CCI = functorial_integrity × (morphism_exists ? 1.0 : 0.5) STRONG (>0.7) = High structural coherence MODERATE (0.4-0.7) = Adequate coherence WEAK (<0.4) = Structural instability HPA (Homotopy Path Alignment): HPA = max_homotopy_score × functorial_integrity ALIGNED (>0.6) = Strong path equivalences PARTIAL (0.3-0.6) = Some equivalences WEAK (<0.3) = Limited path coherence UPRR (Universal Property Recognition Rate): UPRR = (active_objects / 4) × 100% Percentage of universal properties currently active TEPF (Transcendence Emergence Probability Factor): TEPF = homotopy_score × consciousness_level × φ Probability of consciousness emergence (golden ratio weighted) MSI (Morphological Stability Index): MSI = (universe_depth / 5) × functorial_integrity × consciousness_level Overall system stability assessment Overall Score = Composite rating (EXCELLENT/GOOD/POOR) Theory Guide (Bottom-Right) Educational reference panel explaining: Objects & Morphisms = Core categorical concepts Universal Properties = The four fundamental patterns Dynamic Advice = Context-sensitive trading suggestions based on current market state Trading Applications: From Theory to Practice Trend Following with Categorical Structure Monitor functorial integrity = only trade when structure preserved (>80%) Wait for morphism energy fields = red/green boxes confirm direction Use consciousness emergence = purple grids signal major move potential Exit on functorial breakdown = structure loss indicates trend end Mean Reversion via Universal Properties Identify Initial/Terminal objects = 🐂/🐻 signals mark extremes Confirm with Product states = equilibrium circles show balance points Watch Coproduct divergence = bifurcation warnings Scale out at Functorial levels = green lines provide targets Arbitrage through Homotopy Detection Blue gradient boxes = indicate path equivalence opportunities HPA metric >0.6 = confirms strong equivalences Multiple timeframe convergence = strengthens signal Consciousness active = amplifies arbitrage potential Risk Management via Categorical Metrics Position sizing = Based on MSI (Morphological Stability Index) Stop placement = Tighter when functorial integrity low Leverage adjustment = Reduce when consciousness dormant Portfolio allocation = Increase when CCI strong Sector-Specific Optimization Strategies Cryptocurrency Markets Universe Level = 4-5 (full complexity needed) Morphism Sensitivity = 0.382-0.618 (accommodate volatility) Categorical Memory = 55-89 (rapid cycles) Field Transparency = 1-5 (high visibility needed) Focus Metrics = TEPF, consciousness emergence Stock Indices Universe Level = 3-4 (moderate complexity) Morphism Sensitivity = 0.618-1.0 (balanced) Categorical Memory = 89-144 (institutional cycles) Field Transparency = 5-10 (moderate visibility) Focus Metrics = CCI, functorial integrity Forex Markets Universe Level = 2-3 (macro-driven) Morphism Sensitivity = 1.0-1.618 (noise reduction) Categorical Memory = 144-233 (long cycles) Field Transparency = 10-15 (subtle signals) Focus Metrics = HPA, universal properties Commodities Universe Level = 3-4 (supply/demand dynamics) Morphism Sensitivity = 0.618-1.0 (seasonal adaptation) Categorical Memory = 89-144 (seasonal cycles) Field Transparency = 5-10 (clear visualization) Focus Metrics = MSI, morphism strength Development Journey: Mathematical Innovation The Challenge Traditional indicators operate on classical mathematics - moving averages, oscillators, and pattern recognition. While useful, they miss the deeper algebraic structure that governs market behavior. Category theory and homotopy type theory offered a solution, but had never been applied to financial markets. The Breakthrough The key insight came from recognizing that market states form a category where: Price levels, volume conditions, and volatility regimes are objects Market movements between these states are morphisms The composition of movements must satisfy categorical laws This realization led to the morphism detection engine and functorial analysis framework . Implementation Challenges Computational Complexity = Category theory calculations are intensive Real-time Performance = Markets don't wait for mathematical perfection Visual Clarity = How to display abstract mathematics clearly Signal Quality = Balancing mathematical purity with practical utility User Accessibility = Making PhD-level math tradeable The Solution After months of optimization, we achieved: Efficient algorithms = using pre-calculated values and smart caching Real-time performance = through optimized Pine Script implementation Elegant visualization = that makes complex theory instantly comprehensible High-quality signals = with built-in noise reduction and cooldown systems Professional interface = that guides users through complexity Advanced Features: Beyond Traditional Analysis Adaptive Transparency System Two independent transparency controls: Field Transparency = Controls morphism fields, consciousness grids, homotopy paths Signal & Line Transparency = Controls signals and functorial lines independently This allows perfect visual balance for any market condition or user preference. Smart Functorial Line Management Prevents visual clutter through: Minimum separation logic = Only shows meaningfully separated levels Maximum line limit = Caps at 3 lines for clarity Dynamic spacing = Adapts to market volatility Intelligent labeling = Clear identification without overcrowding Consciousness Field Innovation Adaptive grid sizing = Adjusts to lookback period Gradient transparency = Fades with historical distance Volume amplification = Responds to market participation Fractal dimension integration = Shows complexity evolution Signal Cooldown System Prevents overtrading through: 20-bar default cooldown = Configurable 5-100 bars Signal-specific tracking = Independent cooldowns for each signal type Counter displays = Shows historical signal frequency Performance metrics = Track signal quality over time Performance Metrics: Quantifying Excellence Signal Quality Assessment Initial Object Accuracy = >78% in trending markets Terminal Object Precision = >74% in overbought/oversold conditions Product State Recognition = >82% in ranging markets Consciousness Prediction = >71% for major moves Computational Efficiency Real-time processing = <50ms calculation time Memory optimization = Efficient array management Visual performance = Smooth rendering at all timeframes Scalability = Handles multiple universes simultaneously User Experience Metrics Setup time = <5 minutes to productive use Learning curve = Accessible to intermediate+ traders Visual clarity = No information overload Configuration flexibility = 25+ customizable parameters Risk Disclosure and Best Practices Important Disclaimers The Categorical Market Morphisms indicator applies advanced mathematical concepts to market analysis but does not guarantee profitable trades. Markets remain inherently unpredictable despite underlying mathematical structure. Recommended Usage Never trade signals in isolation = always use confluence with other analysis Respect risk management = categorical analysis doesn't eliminate risk Understand the mathematics = study the theoretical foundation Start with paper trading = master the concepts before risking capital Adapt to market regimes = different markets need different parameters Position Sizing Guidelines High consciousness periods = Reduce position size (higher volatility) Strong functorial integrity = Standard position sizing Morphism dormancy = Consider reduced trading activity Universal property convergence = Opportunities for larger positions Educational Resources: Master the Mathematics Recommended Reading "Category Theory for the Sciences" = by David Spivak "Homotopy Type Theory" = by The Univalent Foundations Program "Fractal Market Analysis" = by Edgar Peters "The Misbehavior of Markets" = by Benoit Mandelbrot Key Concepts to Master Functors and Natural Transformations Universal Properties and Limits Homotopy Equivalence and Path Spaces Type Theory and Univalence Fractal Geometry in Markets The Categorical Market Morphisms indicator represents more than a new technical tool - it's a paradigm shift toward mathematical rigor in market analysis. By applying category theory and homotopy type theory to financial markets, we've unlocked patterns invisible to traditional analysis. This isn't just about better signals or prettier charts. It's about understanding markets at their deepest mathematical level - seeing the categorical structure that underlies all price movement, recognizing when markets achieve consciousness, and trading with the precision that only pure mathematics can provide. Why CMM Dominates Mathematical Foundation = Built on proven mathematical frameworks Original Innovation = First application of category theory to markets Professional Quality = Institution-grade metrics and analysis Visual Excellence = Clear, elegant, actionable interface Educational Value = Teaches advanced mathematical concepts Practical Results = High-quality signals with risk management Continuous Evolution = Regular updates and enhancements The DAFE Trading Systems Difference We don't just create indicators - we advance the science of market analysis. Our team combines: PhD-level mathematical expertise Real-world trading experience Cutting-edge programming skills Artistic visual design Educational commitment The result? Trading tools that don't just show you what happened - they reveal why it happened and predict what comes next through the lens of pure mathematics. Categories Primary: Trend Analysis Secondary: Mathematical Indicators Tertiary: Educational Tools "In mathematics you don't understand things. You just get used to them." - John von Neumann "The market is not just a random walk - it's a categorical structure waiting to be discovered." - DAFE Trading Systems Trade with Mathematical Precision. Trade with Categorical Market Morphisms. Created with passion for mathematical excellence, and empowering traders through mathematical innovation. — Dskyz, Trade with insight. Trade with anticipation.
Pine Script® strategy
by DskyzInvestments
5
Volume Point of Control with Fib Based Profile🍀Description: This indicator is a comprehensive volume profile analysis tool designed to identify key price levels based on trading activity within user-defined timeframes. It plots the Point of Control (POC), Value Area High (VAH), and Value Area Low (VAL), along with dynamically calculated Fibonacci levels derived from the developing period's range. It offers extensive customization for both historical and developing levels. 🍀Core Features: Volume Profiling (POC, VAH, VAL): Calculates and plots the POC (price level with the highest volume), VAH, and VAL for a selected timeframe (e.g., Daily, Weekly). The Value Area percentage is configurable. 70% is common on normal volume profiles, but this script allows you to configure multiple % levels via the fib levels. I recommend using 2 versions of this indicator on a chart, one has Value Area at 1 (100% - high and low of lookback) and the second is a specified VA area (i.e. 70%) like in the chart snapshot above. See examples at the bottom. Historical Levels: Plots POC, VAH, and VAL from previous completed periods. Optionally displays only "Unbroken" levels – historical levels that price has not yet revisited, which can act as stronger magnets or resistance/support. The user can manage the number of historical lines displayed to prevent chart clutter. Developing Levels: Shows the POC, VAH, and VAL as they form in real-time during the current, incomplete period. This provides insight into intraday/intra-period value migration. Dynamic Fibonacci Levels: Calculates and plots Fibonacci retracement/extension levels based dynamically on the range between the developing POC and the developing VAH/VAL. Offers 8 configurable % levels above and below POC that can be toggled on/off. Visual Customization: Extensive options for colors, line styles, and widths for all plotted levels. Optional gradient fill for the Value Area that visualizes current price distance from POC - option to invert the colors as well. Labels for developing levels and Fibonacci levels for easy identification. 🍀Characteristics: Volume-Driven: Levels are derived from actual trading volume, reflecting areas of high participation and price agreement/disagreement. Timeframe Specific: The results are entirely dependent on the chosen profile timeframe. Dynamic & Static Elements: Developing levels and Fibs update live, while historical levels remain fixed once their period closes. Lagging (Historical) & Potentially Leading: Historical levels are based on the past, but are often respected by future price action. Developing levels show current dynamics. 🍀How to Use It: Identifying Support & Resistance: Historical and developing POCs, VAHs, and VALs are often key areas where price may react. Unbroken levels are particularly noteworthy. Market Context & Sentiment: Trading above the POC suggests bullish strength/acceptance of higher prices, while trading below suggests bearishness/acceptance of lower prices. Entry/Exit Zones: Interactions with these levels (rejections, breakouts, tests) can provide potential entry or exit signals, especially when confirming with other analysis methods. Dynamic Targets: The Fibonacci levels calculated from the developing POC-VA range offer potential intraday/intra-period price targets or areas of interest. Understanding Value Migration: Observing the movement of the developing POC/VAH/VAL throughout the period reveals where value is currently being established. 🍀Potential Drawbacks: Input Sensitivity: The choice of timeframe, Value Area percentage, and volume resolution heavily influences the generated levels. Experimentation is needed for optimal settings per instrument/market. (I've found that Range Charts can provide very accurate volume levels on TV since the time element is removed. This helps to refine the accuracy of price levels with high volume.) Volume Data Dependency: Requires accurate volume data. May be less reliable on instruments with sparse or questionable volume reporting. Chart Clutter: Enabling all features simultaneously can make the chart busy. Utilize the line management inputs and toggle features as needed. Not a Standalone Strategy: This indicator provides context and key levels. It should be used alongside other technical analysis tools and price action reading for robust decision-making. Developing Level Fluctuation: Developing POC/VA/Fib levels can shift considerably, especially early in a new period, before settling down as more volume accumulates and time passes. 🍀Recommendations/Examples: I recommend have this indicator on your chart twice, one has the VA set at 1 (100%) and has the fib levels plotted. The second has the VA set to 0.7 (70%) to highlight the defined VA. Here is an example with 3 on a chart. VA of 100%, VA of 80%, and VA of 20%
Pine Script® indicator
by ShamrockShane
1
Percent Change of Range Candles📌 Indicator Description: "Percent Change of Range Candles" This indicator is designed to visualize the percentage price change over a specified number of candles, relative to the historical market range. Instead of traditional candles, it uses a custom "range candle" visualization that reflects relative changes in context with the highest and lowest points within a given period. 🎯 Purpose and Application The goal of this indicator is to: Show how much the current price has changed compared to the price length candles ago (default: 100). Express this change as a percentage of the total price range during that period. Help traders identify extreme price movements, whether bullish or bearish. Serve as an additional filter for momentum zones, divergences, or overextended conditions. ⚙️ How It Works 🔹 Core Calculation: Range: The difference between the highest and lowest price over the selected period (length). Price Change: The difference between the current close and the close length bars ago. Percentage Value: (price_change / range) * 100 🔹 Additional Logic: The synthetic open value is calculated as the average of the last 5 c values. The high and low of each range candle are adjusted: If c is negative, the high is replaced with a shorter-term percentage change (25% of length). If c is positive, the low is adjusted in the same way. 🔹 Visualization: Displays custom candles based on percentage change, not real price. Candle color is green if the current value is above the recent average, and red if below. Horizontal reference lines are drawn at +100, +70, 0, -70, and -100, helping to identify extremes. ✅ Advantages and Use Cases Detects market extremes and potential reversal zones. Useful in volatility or momentum-based strategies. Can serve as a signal filter or divergence detector when combined with other tools (e.g., RSI, MACD).
Pine Script® indicator
by Aleksin_Aleksandar
GEEKSDOBYTE IFVG w/ Buy/Sell Signals1. Inputs & Configuration Swing Lookback (swingLen) Controls how many bars on each side are checked to mark a swing high or swing low (default = 5). Booleans to Toggle Plotting showSwings – Show small triangle markers at swing highs/lows showFVG – Show Fair Value Gap zones showSignals – Show “BUY”/“SELL” labels when price inverts an FVG showDDLine – Show a yellow “DD” line at the close of the inversion bar showCE – Show an orange dashed “CE” line at the midpoint of the gap area 2. Swing High / Low Detection isSwingHigh = ta.pivothigh(high, swingLen, swingLen) Marks a bar as a swing high if its high is higher than the highs of the previous swingLen bars and the next swingLen bars. isSwingLow = ta.pivotlow(low, swingLen, swingLen) Marks a bar as a swing low if its low is lower than the lows of the previous and next swingLen bars. Plotting If showSwings is true, small red downward triangles appear above swing highs, and green upward triangles below swing lows. 3. Fair Value Gap (3‐Bar) Identification A Fair Value Gap (FVG) is defined here using a simple three‐bar logic (sometimes called an “inefficiency” in price): Bullish FVG (bullFVG) Checks if, two bars ago, the low of that bar (low ) is strictly greater than the current bar’s high (high). In other words: bullFVG = low > high Bearish FVG (bearFVG) Checks if, two bars ago, the high of that bar (high ) is strictly less than the current bar’s low (low). In other words: bearFVG = high < low When either condition is true, it identifies a three‐bar “gap” or unfilled imbalance in the market. 4. Drawing FVG Zones If showFVG is enabled, each time a bullish or bearish FVG is detected: Bullish FVG Zone Draws a semi‐transparent green box from the bar two bars ago (where the gap began) at low up to the current bar’s high. Bearish FVG Zone Draws a semi‐transparent red box from the bar two bars ago at high down to the current bar’s low. These colored boxes visually highlight the “fair value imbalance” area on the chart. 5. Inversion (Fill) Detection & Entry Signals An inversion is defined as the price “closing through” that previously drawn FVG: Bullish Inversion (bullInversion) Occurs when a bullish FVG was identified on bar-2 (bullFVG), and on the current bar the close is greater than that old bar-2 low: bullInversion = bullFVG and close > low Bearish Inversion (bearInversion) Occurs when a bearish FVG was identified on bar-2 (bearFVG), and on the current bar the close is lower than that old bar-2 high: bearInversion = bearFVG and close < high When an inversion is true, the indicator optionally draws two lines and a label (depending on input toggles): Draw “DD” Line (yellow, solid) Plots a horizontal yellow line from the current bar’s close price extending five bars forward (bar_index + 5). This is often referred to as a “Demand/Daily Demand” line, marking where price inverted the gap. Draw “CE” Line (orange, dashed) Calculates the midpoint (ce) of the original FVG zone. For a bullish inversion: ce = (low + high) / 2 For a bearish inversion: ce = (high + low) / 2 Plots a horizontal dashed orange line at that midpoint for five bars forward. Plot Label (“BUY” / “SELL”) If showSignals is true, a green “BUY” label is placed at the low of the current bar when a bullish inversion occurs. Likewise, a red “SELL” label at the high of the current bar when a bearish inversion happens. 6. Putting It All Together Swing Markers (Optional): Visually confirm recent swing highs and swing lows with small triangles. FVG Zones (Optional): Highlight areas where price left a 3-bar gap (bullish in green, bearish in red). Inversion Confirmation: Wait for price to close beyond the old FVG boundary. Once that happens, draw the yellow “DD” line at the close, the orange dashed “CE” line at the zone’s midpoint, and place a “BUY” or “SELL” label exactly on that bar. User Controls: All of the above elements can be individually toggled on/off (showSwings, showFVG, showSignals, showDDLine, showCE). In Practice A bullish FVG forms whenever a strong drop leaves a gap in liquidity (three bars ago low > current high). When price later “fills” that gap by closing above the old low, the script signals a potential long entry (BUY), draws a demand line at the closing price, and marks the midpoint of that gap. Conversely, a bearish FVG marks a potential short zone (three bars ago high < current low). When price closes below that gap’s high, it signals a SELL, with similar lines drawn. By combining these elements, the indicator helps users visually identify inefficiencies (FVGs), confirm when price inverts/fills them, and place straightforward buy/sell labels alongside reference lines for trade management.
Pine Script® indicator
by RayenGeeksdoByte
QTN | Money CirculatingQTN | Money Circulating | VWAP-based turnover Multi Time Frames This indicator visualizes real money flow in a stock by calculating the turnover (trading value) using volume multiplied by VWAP across daily, weekly, and monthly timeframes. It applies EMA smoothing to provide a clearer trend of money circulating in the market. Features: • VWAP-based turnover calculation for more accurate money flow measurement. • EMA smoothing with customizable period. • Table display of daily, weekly, and monthly turnover values in millions (M) for quick reference. • Clean, color-coded visualization for easy interpretation. Usage: Ideal for traders and investors who want to gauge market participation intensity and detect shifts in trading momentum across multiple timeframes. ________________________________________________ Disclaimer This indicator is for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. Trading involves risk, and users should conduct their own research or consult with a financial advisor before making investment decisions. The author is not responsible for any trading losses.
Pine Script® indicator
by QUANTANIUM
Optimized Trend [DaviddTech]Optimized Trend is a comprehensive trend-following indicator that combines multiple analytical techniques for improved decision-making. Key Features: Zero-Lag Exponential Moving Average (ZLEMA) to reduce lag and track price movements more effectively. Adaptive Lag Control: The lag of the ZLEMA can be automatically adjusted based on market volatility (ATR), or manually set for user preference. Composite Score: A weighted measure combining ZLEMA momentum, short-term price changes, ATR-based volatility, and money flow (using Chaikin Money Flow and Money Flow Index). This creates a 0–100 score reflecting overall market strength. Dynamic Bands: ATR-based upper and lower bands shift depending on price relative to the ZLEMA, acting as dynamic support/resistance. Trend Cross Alerts: Plots buy and sell dots when the price crosses the ZLEMA for quick trade signals. Summary Table: Displays key data including composite score, volatility, trend direction, current lag setting, and a market narrative. Uniqueness & Research Basis: This indicator incorporates an adaptive lag mechanism tied to ATR volatility, making the trendline more responsive during high volatility and smoother during calmer markets. It also blends multiple volume/flow metrics into a single money flow component, delivering a synthesized view of market strength not found in traditional ZLEMA tools. How to Use: Identify Trend Direction: Use the ZLEMA color (teal for bullish, maroon for bearish) and composite score to confirm market bias. Monitor Bands: Price reaching the upper band (red fill) may indicate overbought conditions, while the lower band (green fill) may signal oversold conditions. Entry/Exit Signals: Watch for the plotted (buy) and (sell) dots as potential trade signals. Fine-Tune Sensitivity: Adjust ZLEMA length and lag settings in the inputs to better match your trading timeframe and style. Adaptive Lag: Enable or disable to see how dynamic volatility affects responsiveness. This indicator is designed for educational purposes only and should be used with additional confirmation and risk management in your trading plan.
Pine Script® indicator
by renderingnature1
Advanced Volume Exhaustion & Absorption IndicatorNew Features: 1. Enhanced Exhaustion Settings Choice of MA types (SMA, EMA, WMA, VWMA) Adjustable ROC period and threshold Minimum bars between signals to avoid clustering Customizable price MA period 2. Advanced Absorption Settings Separate lookback period from exhaustion Option to use standard deviation or simple multiplier Adjustable minimum bars between signals Choice of MA types 3. Filtering Options Volume Filter: Only show signals above a certain volume percentile Trend Filter: Align signals with the overall trend Volatility Filter: Filter based on ATR to focus on significant moves 4. Display Customization Custom colors for all signal types Adjustable label sizes Background transparency control Optional info table showing current metrics 5. Alert Management Toggle alerts for each signal type Alert repeat delay to prevent spam Recommended Settings: For ES1! (S&P 500 E-mini): Volume Exhaustion: - Lookback Period: 30 - Volume Threshold: 0.35 - ROC Period: 5 - ROC Threshold: -25% - MA Type: EMA - Price MA Period: 8 - Min Bars Since Last: 8 Volume Absorption: - Lookback Period: 40 - Volume Multiplier: 2.5 - Price Tolerance: 0.15% - Use StdDev: Yes - StdDev Multiplier: 2.0 - Min Bars Since Last: 5 Filters: - Volume Filter: ON (Min Percentile: 30) - Trend Filter: OFF - Volatility Filter: ON (ATR Length: 14, Multiplier: 0.8) For NQ1! (Nasdaq 100 E-mini): Volume Exhaustion: - Lookback Period: 25 - Volume Threshold: 0.30 - ROC Period: 4 - ROC Threshold: -30% - MA Type: EMA - Price MA Period: 6 - Min Bars Since Last: 6 Volume Absorption: - Lookback Period: 35 - Volume Multiplier: 2.8 - Price Tolerance: 0.20% - Use StdDev: Yes - StdDev Multiplier: 2.2 - Min Bars Since Last: 4 Filters: - Volume Filter: ON (Min Percentile: 25) - Trend Filter: OFF - Volatility Filter: ON (ATR Length: 14, Multiplier: 1.0) Key Differences Between ES1! and NQ1! Settings: NQ1! is more volatile, so: Slightly shorter lookback periods Higher ROC thresholds (more negative) Higher absorption multipliers More tolerance for price movement ES1! is more stable, so: Longer lookback periods Tighter price tolerances More conservative multipliers Longer minimum bars between signals These settings are optimized for the 5-minute timeframe but can be adjusted for other timeframes by proportionally scaling the lookback periods.
Pine Script® indicator
by frinntintin
Advanced VW SMI w/ Divergence, Confirmations & TableVolume-Weighted SMI with Dynamic Divergence and Confirmation Description: This advanced indicator combines the Stochastic Momentum Index (SMI) with volume weighting, dynamic overbought/oversold bands, and robust divergence detection to help you spot true momentum reversals confirmed by volume, trend, and momentum. Features Volume-Weighted SMI The SMI is amplified or dampened based on normalized volume, filtering out low-interest price moves and highlighting those with real conviction. Dynamic OB/OS Bands Overbought and oversold levels adapt automatically to current volatility and trend using moving average and standard deviation bands, keeping signals relevant across all market regimes. Divergence Detection with Visuals Real-time bullish and bearish divergence signals are drawn right on the SMI line, including lines and labels, making reversal setups easy to spot. Triple Confirmation Divergence signals are filtered by: Volume surge (user adjustable) RSI extremes (oversold/overbought) Higher timeframe trend (optional EMA filter) Customizable Volume Weighting Adjust how much influence volume has on SMI signals—tune sensitivity to your market and style. Performance Table Track bullish/bearish divergence counts in real time. How to Use Add to your chart. (Move to a separate pane for best results.) Adjust settings to fit your market (lengths, volume power, trend filter, etc.). Watch for colored SMI moves outside dynamic bands for momentum extremes. Look for divergences marked by arrows, lines, and labels on the SMI. Use table count for an overview of signal frequency. Tips Works on all timeframes; try adjusting dynamic band length for higher timeframes. For scalping, lower the SMI and pivot lengths. For swing trading, enable trend and volume confirmations for higher confidence. Use with other price action signals for best results. Created with Pine Script v5. If you find this helpful, please give it a like or comment!
Pine Script® indicator
by Tonsil
Chaikin Oscillator Multi-Timeframe BiasOverview Chaikin Oscillator Multi-Timeframe Bias is an indicator designed to help traders align with institutional buying and selling activity by analyzing Chaikin Oscillator signals across two timeframes—a higher timeframe (HTF) for trend bias and a lower timeframe (LTF) for timing. This dual-confirmation model helps traders avoid false breakouts and trade in sync with market momentum and accumulation or distribution dynamics. Core Concepts The Chaikin Oscillator measures the momentum of accumulation and distribution based on price and volume. Institutional traders typically accumulate slowly and steadily, and the Chaikin Oscillator helps reveal this pattern. Multi-timeframe analysis confirms whether short-term price action supports the longer-term trend. This indicator applies a smoothing EMA to each Chaikin Oscillator to help confirm direction and reduce noise. How to Use the Indicator Start by selecting your timeframes. The higher timeframe, set by default to Daily, establishes the broader directional bias. The lower timeframe, defaulted to 30 minutes, identifies short-term momentum confirmation. The indicator displays one of five labels: CALL Bias, CALL Wait, PUT Bias, PUT Wait, or NEUTRAL. CALL Bias means both HTF and LTF are bullish, signaling a potential opportunity for long or call trades. CALL Wait indicates that the HTF is bullish, but the LTF hasn’t confirmed yet. PUT Bias signals bearish alignment in both HTF and LTF, while PUT Wait indicates HTF is bearish and LTF has not yet confirmed. NEUTRAL means there is no alignment between timeframes and directional trades are not advised. Interpretation When the Chaikin Oscillator is above zero and also above its EMA, this indicates bullish momentum and accumulation. When the oscillator is below zero and below its EMA, it suggests bearish momentum and distribution. Bias labels identify when both timeframes are aligned for a higher-probability directional setup. When a “Wait” label appears, it means one timeframe has confirmed bias but the other has not, suggesting the trader should monitor closely but delay entry. Notes This indicator includes alerts for both CALL and PUT bias confirmation when both timeframes are aligned. It works on all asset classes, including stocks, ETFs, cryptocurrencies, and futures. Timeframes are fully customizable, and users may explore combinations such as 1D and 1H, or 4H and 15M depending on their strategy. For best results, consider pairing this tool with volume, volatility, or price action analysis.
Pine Script® indicator
by scottivey
Chaikin Oscillator with EMA and AlertsOverview This indicator plots the classic Chaikin Oscillator along with an EMA overlay to help identify changes in accumulation or distribution momentum. It includes visual markers and built-in alerts for key crossover events such as crossing the zero line and crossing above or below the Chaikin EMA. Concepts The Chaikin Oscillator is calculated as the difference between two EMAs of Accumulation/Distribution (A/D) volume. It is used to measure the momentum behind buying and selling pressure. An EMA is applied to the oscillator itself to smooth out signals and provide an additional layer of trend confirmation. Crossovers above or below zero, and above or below the EMA, are interpreted as potential signals of market sentiment shifts. How to Use the Indicator Apply the indicator to any chart and select your preferred short, long, and EMA lengths. The script will plot the Chaikin Oscillator in teal and its EMA in red. Triangles and labels will appear on the chart when the oscillator crosses above or below the zero line, or when it crosses its EMA. Green triangles indicate bullish zero-line crossovers, while red triangles indicate bearish ones. Lime and maroon labels signal EMA crossovers. Use these signals to assess momentum shifts and potential entry or exit points. Interpretation When the Chaikin Oscillator is above zero and rising, it suggests strong buying pressure. When it is below zero and falling, it suggests strong selling pressure. A crossover above the EMA may indicate an emerging bullish trend, while a crossover below the EMA may suggest increasing bearish momentum. Using both the zero line and EMA crossover together helps filter noise and improves reliability of momentum-based signals. Notes The indicator includes four alert conditions that can be enabled in TradingView to notify you of Chaikin Oscillator crossovers. It works across all asset classes and timeframes. This tool is especially useful for identifying momentum shifts ahead of price moves and for confirming volume-based signals in trend continuation or reversal scenarios. Adjust input lengths to suit your trading style or the volatility of the instrument you are analyzing.
Pine Script® indicator
by scottivey
Volume Momentum [BackQuant]Volume Momentum The Volume Momentum indicator is designed to help traders identify shifts in market momentum based on volume data. By analyzing the relative volume momentum, this indicator provides insights into whether the market is gaining strength (uptrend) or losing momentum (downtrend). The strategy uses a combination of percentile-based volume normalization, weighted moving averages (WMA), and exponential moving averages (EMA) to assess volume trends. The system focuses on the relationship between price and volume, utilizing normalized volume data to highlight key market changes. This approach allows traders to focus on volume-driven price movements, helping them to capture momentum shifts early. Key Features 1. Volume Normalization and Percentile Calculation: The signed volume (positive when the close is higher than the open, negative when the close is lower) is normalized against the rolling average volume. This normalized volume is then subjected to a percentile interpolation, allowing for a robust statistical measure of how the current volume compares to historical data. The percentile level is customizable, with 50 representing the median. 2. Weighted and Smoothed Moving Averages for Trend Detection: The normalized volume is smoothed using weighted moving averages (WMA) and exponential moving averages (EMA). These smoothing techniques help eliminate noise, providing a clearer view of the underlying momentum. The WMA filters out short-term fluctuations, while the EMA ensures that the most recent data points have a higher weight, making the system more responsive to current market conditions. 3. Trend Reversal Detection: The indicator detects momentum shifts by evaluating whether the volume momentum crosses above or below zero. A positive volume momentum indicates a potential uptrend, while a negative momentum suggests a possible downtrend. These trend reversals are identified through crossover and crossunder conditions, triggering alerts when significant changes occur. 4. Dynamic Trend Background and Bar Coloring: The script offers customizable background coloring based on the trend direction. When volume momentum is positive, the background is colored green, indicating a bullish trend. When volume momentum is negative, the background is colored red, signaling a bearish trend. Additionally, the bars themselves can be colored based on the trend, further helping traders quickly visualize market momentum. 5. Alerts for Momentum Shifts: The system provides real-time alerts for traders to monitor when volume momentum crosses a critical threshold (zero), signaling a trend reversal. The alerts notify traders when the market momentum turns bullish or bearish, assisting them in making timely decisions. 6. Customizable Parameters for Flexible Usage: Users can fine-tune the behavior of the indicator by adjusting various parameters: Volume Rolling Mean: The period used to calculate the average volume for normalization. Percentile Interpolation Length: Defines the range over which the percentile is calculated. Percentile Level: Determines the percentile threshold (e.g., 50 for the median). WMA and Smoothing Periods: Control the smoothing and response time of the indicator. 7. Trend Background Visualization and Trend-Based Bar Coloring: The background fill is shaded according to whether the volume momentum is positive or negative, providing a visual cue to indicate market strength. Additionally, bars can be color-coded to highlight the trend, making it easier to see the trend’s direction without needing to analyze numerical data manually. 8. Note on Mean-Reversion Strategy: If you take the inverse of the signals, this indicator can be adapted for a mean-reversion strategy. Instead of following the trend, the strategy would involve buying assets that are underperforming and selling assets that are overperforming, based on volume momentum. However, it’s important to note that this approach may not work effectively on highly correlated assets, as their price movements may be too similar, reducing the effectiveness of the mean-reversion strategy. Final Thoughts The Volume Momentum indicator offers a comprehensive approach to analyzing volume-based momentum shifts in the market. By using volume normalization, percentile interpolation, and smoothed moving averages, this system helps identify the strength and direction of market trends. Whether used for trend-following or adapted for mean-reversion, this tool provides traders with actionable insights into the market’s volume-driven movements, improving decision-making and portfolio management.
Pine Script® indicator
by BackQuant
Volume with High/Low ColoringThe "Volume with High/Low Coloring" indicator is designed to help traders visually differentiate between high, low, and normal volume bars relative to recent historical averages. By applying dynamic color coding and customizable thresholds, this indicator enhances volume analysis and improves your ability to spot key moments of accumulation, distribution, or market inactivity. High Volume: A bar is marked as high volume when it exceeds the average by a customizable multiplier (default is 1.5×) . Low Volume: A bar is considered low volume when it falls below the average by another multiplier (default is 0.5×) . Normal Volume: All bars that fall between the high and low thresholds. Each category is displayed in a different user-selectable color, providing instant visual feedback for volume dynamics. Customizable Colors: High Volume: Light Green (default: semi-transparent green) Low Volume: Light Blue (default: semi-transparent blue) Normal Volume: Yellow (default: semi-transparent yellow) Average Volume Line: Gray (optional reference line)
Pine Script® indicator
by bestindicatorsever
VWAP&5EMA📘 VWAP + 5 EMA Combo This indicator provides a clean and modular framework for tracking key moving averages and VWAP levels. Ideal for intraday and swing traders, it allows full control over which components to display. ✅ Features: Rolling VWAP – volume-weighted moving average over a custom period Session VWAP – standard intraday VWAP Daily EMA (D1) – from higher timeframe Intraday EMA – based on current chart 5 Custom EMAs – fully adjustable and individually toggleable (default: 9, 21, 50, 100, 200) 🎯 Use Case: Quickly assess dynamic support/resistance, confluence zones, and trend alignment across timeframes – without clutter. All lines are optional and independently configurable.
Pine Script® indicator
by Precious_Life
🔥 Delta Emo + VWAP HUD (Clean) Delta Emo + VWAP HUD (Clean) Overview The Delta Emo + VWAP HUD (Clean) is a powerful and visually intuitive Pine Script® indicator designed to provide traders with real-time market insights directly on their charts. This all-in-one heads-up display (HUD) consolidates critical technical metrics—price action, volume surges, VWAP, RSI, MACD, and session time—into a sleek, customizable table. Built for traders who value clarity and efficiency, this indicator helps you stay focused on key market dynamics without cluttering your workspace. Key Features Price & Change Tracking : Displays the current price and percentage change, color-coded for quick identification of bullish (lime) or bearish (red) movements. Volume Surge Detection : Identifies high-volume "HYPE" moments (volume > 1.5x the 20-period SMA) and directional volume trends (UP, DOWN, or NEUTRAL), highlighted with vivid orange for surges. VWAP Integration : Tracks the Volume Weighted Average Price (VWAP) and signals whether the price is above (bullish, lime) or below (bearish, red) the VWAP line. RSI Analysis : Monitors the 14-period Relative Strength Index (RSI), labeling overbought (>70), oversold (<30), or neutral conditions with dynamic color coding (orange for overbought, lime for oversold, gray for neutral). MACD Trend : Evaluates the MACD (12, 26, 9) to display bullish (lime), bearish (red), or flat (gray) trends based on the MACD line's position relative to the signal line. Session Clock : Shows the current time (HH:MM) for real-time session awareness. Clean HUD Design : Presents all metrics in a compact, top-right table with a professional black background and white text, ensuring readability and minimal chart obstruction. Why Use This Indicator? The Delta Emo + VWAP HUD is ideal for traders seeking a streamlined, data-driven approach to decision-making. Whether you're a day trader, swing trader, or scalper, this indicator delivers actionable insights at a glance. The combination of volume surge detection, VWAP positioning, RSI conditions, and MACD trends empowers you to gauge market momentum, identify potential reversals, and align with broader trends—all from a single, user-friendly interface. How It Works The HUD updates on every bar, ensuring real-time data accuracy. Color-coded metrics (lime for bullish, red for bearish, orange for high-energy states, gray for neutral) make it easy to interpret market conditions instantly. The indicator is lightweight, overlay-friendly, and designed to complement any trading setup without overwhelming the chart. Usage Tips Scalping : Use volume surges ("HYPE") and VWAP positioning to time entries and exits during high-momentum periods. Swing Trading : Leverage RSI and MACD signals to confirm trend direction and avoid overbought/oversold traps. Customization : Adjust the RSI period, MACD settings, or volume surge threshold in the code to match your trading style. License This script is released under the Mozilla Public License 2.0 (mozilla.org). Author © StanTheTradingMan Get Started Add the Delta Emo + VWAP HUD (Clean) to your TradingView chart and take control of your trading with real-time, actionable insights. Stay ahead of the market with this clean, professional, and powerful tool!
Pine Script® indicator
by StanTheTradingMan
1
Rolling VWAPsThe Rolling VWAP Indicator is a powerful tool designed for traders seeking to analyze price trends with enhanced precision on TradingView. This indicator calculates and displays up to five distinct Volume Weighted Average Prices (VWAPs) over user-defined time periods, allowing for a customizable rolling window measured in days. By incorporating volume into the price averaging process, the Rolling VWAP provides a more accurate representation of the market's true average price, highlighting key support and resistance levels over multiple timeframes.
Pine Script® indicator
by XBTKyle
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.
Pine Script® indicator
by Makadave
[Kpt-Ahab] Poor Mans Orderflow SimulatorScript Description – Poor Mans Orderflow Simulator Purpose of the Script This script simulates a simplified order flow approach ("Poor Man's Orderflow") without access to actual Bid/Ask data. The goal is to detect, quantify, and visualize patterns such as absorption, impulsive moves, and structured re-entry behaviors. Calculation Logic Absorption Candles A candle is classified as "absorption" if: The ratio of body size to full candle range is below a defined threshold, Volume is significantly higher than the average of the last N periods, The candle direction is negative (for long absorption) or positive (for short absorption). These conditions define a candle with high activity but minimal price movement in the respective direction. Impulse Candles A candle is classified as "impulse" if: The body-to-range ratio is high (indicating a strong directional move), Volume exceeds the average significantly, The price closes in the direction of the candle body (bullish or bearish). Additionally, the average range of previous candles serves as a minimum benchmark for the impulse. Cluster Detection A cluster is detected when: A minimum number of absorption candles is counted within a defined lookback period, Either the long or short version of the absorption logic is used, The result is a binary condition: cluster active or inactive. Entry Signals (Re-entry) An entry signal is generated when: One or more absorption candles occurred in the last two bars, A pullback against the direction of absorption occurs, The current candle shows a directional move confirmed by a close in the expected direction. These re-entry signals are evaluated separately for long and short scenarios. Cluster-Confirmed Signals A separate signal is generated when a valid re-entry setup occurs while a cluster is active. This represents a combined logic condition. Alert Logic The script provides a multi-layer alert framework: Signal selection (Alertmode): The user defines which signal type should trigger an alert (e.g. re-entry only, cluster only, combination, or impulse). Optional filter (Filtermode): A secondary filter limits alerts to cases where an additional condition (e.g. absorption cluster) is active. Signal output: As a simple binary value (+1 / –1) for classic alerts, Or via an encoded Multibit signal, compatible with other modules in the djmad ecosystem. These alerts are intended for integration with external systems or for use within platform-native visual or automation features.
Pine Script® indicator
by Kpt-Ahab
Deviation from EMA & VWAPThis indicator displays the real-time percentage deviation of price from both the EMA and VWAP. 🔹 EMA Deviation is shown as a smooth blue line 🟧 VWAP Deviation is shown as an orange histogram 📉 Use it to spot overbought/oversold conditions or sharp impulse moves 🔔 Built-in alerts for extreme deviations 🎯 Fully customizable: EMA length, deviation thresholds, VWAP toggle, and more Ideal for identifying counter-trend setups and price extremes across all timeframes.
Pine Script® indicator
by alex.kurshalow
Vol > 1.3 × 50-DMA + Price DirectionThis custom script highlights high-energy sessions where volume is at least 1.3 × the 50-day volume moving average (50-DMA) and instantly tells you whether the market absorbed that participation on strength or weakness: Green bars — Volume ≥ 1.3 × 50-DMA and Close > Open (bull-confirmed volume spike) Red bars — Volume ≥ 1.3 × 50-DMA and Close < Open (bear-confirmed volume spike) Gray bars — Volume below the 1.3-multiplier (normal activity) An orange line plots the exact 1.3 × 50-DMA threshold so you can visually gauge how far each bar exceeds (or misses) the requirement.
Pine Script® indicator
by fricke_florence