This idea has been in my mind for a while. We all know how important volume is to technical analysis but volume and price itself doesn't mean much when volatility and momentum of the current trend is not taken into account. With this oscillator we try to combine all these factors into one indicator and provide a simplified interpretation of this relationship with spread analysis. This indicator can be used in all timeframes but higher timeframes like 1 hour and above will provide most stable results.
How it works? This oscillator tries to analyze volume spread along with price spread based on wyckoff methods and attains certain "strength value" for each candle and it's relationship with the volume. After this calculation preferably we remove detected rejection candles from overall calculation and draw them as plots. The multipliers of the strengths can be changed from the settings.
Green Line Above Red Line = Bullish momentum stronger
Red Line Above Green Line = Bearish momentum stronger
Top circles mean possible bullish reversal candle detected. Gray is weak, White is normal and Red top circle means strong possible reversal detected.
Bottom circles mean possible bearish reversal candle detected. Gray is weak, White is normal and Green bottom circle means strong possible reversal detected.
Let's check the example below
As you can see we see a green dot appear in a somewhat weakening bullish momentum, this can mean possible reversal can happen soon and it does.
Below is a bearish example
In this example we see a possible strong reversal signal in a increasing bullish momentum and the price reacts immediately after the candle.
We also have a table that shows the current non-smoothed result of trend strength based on calculated price-volume spread at top right of the oscillator.
wowo man , what a gem, very good code, i have implemented into my system and work like a charm, Thank you very much.
Crypto_Popat
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it would be great if we can plot Bull n Bear Strength like on ichimoku cloud, this way we have a great visual of MOM on the background. second, sometime we have very high volatility and suppose we get bullishUltraRejection Red candle and the next candle break the high of that red candle and close bullish then this should considered very bullish and plot bearishUltraRejection.
ttnoire5782
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Hello sir, Is it possible to add alert when Signals appear??
Hello, Good day to you sir. I have been using chartink scanner for stock selection, is there a way to make these bullish and bearish lines scanner If not than can you please help me with how these lines are formed Thank you.
serkany88
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@akash123321singh, Which lines are you talking about? Do you mean the crossovers of lines?
akash123321singh
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@serkany88, Good day sir In volume price indicator there are 2 lines one is green and one is red i was wondering how these lines cross above each other, like when greeen line cross above red line, area between them is green and vice versa. So i was wondering if i can make a scanner for the same in chartink scanner for these 2 green and red line and there crossovers thank you.
serkany88
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@akash123321singh, I don't think it's possible use this indicator in stock screener. It's a tradingview backend.
hsayir71
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@serkany88, Serkan Bey merhaba, volume price indikatorunuzde volume rejections sinyalleri icin alarm kurmayi beceremedim. Sinyal alarmlarini nasil kurabilecegiimizi gosteren bir klip, yazi vb varsa benimle paylasabilirminiz? Cok tesekkur ederim. Muthis bir indikator olusturmussunuz tebrik ederim. Saugilarimla Hidir Sayir