Volume with Alerts

Volume with Alerts (VWA)

The Volume with Alerts (VWA) indicator provides a visual representation of trading volume activity in relation to a specified moving average (MA) over a set period. It offers a clear and concise way to observe volume patterns and potential market trends.

Functionality:

Moving Average (MA) of Volume: The indicator calculates a simple moving average of the trading volume with a default period of 20 but can be customized to any period to fit different trading strategies.

Color-Coded Volume Bars: The volume bars are color-coded for quick analysis — green bars indicate periods where the closing price is higher than the opening price (bullish activity), while red bars signify a closing price lower than the opening price (bearish activity).

Alerts for Volume Breakouts: The VWA indicator is equipped with two alert conditions. It triggers a "BUYING VOLUME ABOVE AVERAGE" alert when the volume exceeds the moving average during a bullish candle, suggesting a buying pressure. Conversely, a "SELLING VOLUME ABOVE AVERAGE" alert signals when the volume surpasses the moving average amidst a bearish candle, hinting at selling pressure.

Usage:

This indicator can be a valuable tool for traders looking to enhance their market analysis by monitoring volume in relation to price action. By identifying significant increases in volume, traders may be able to spot potential starting points of trends or reversals.

Disclaimer:

The VWA indicator is intended for informational and educational purposes only and should not be considered as financial advice. Traders should use this indicator as part of a comprehensive trading plan, carefully considering risk and doing their own due diligence before entering any trade.