OPEN-SOURCE SCRIPT
Trend Volume Accumulations [LuxAlgo]
Updated
Deeply inspired by the Weiss wave indicator, the following indicator aims to return the accumulations of rising and declining volume of a specific trend. Positive waves are constructed using rising volume while negative waves are using declining volume.
The trend is determined by the sign of the rise of a rolling linear regression.
Settings
Usages
The trend volume accumulations (TVA) indicator allows determining the current price trend while taking into account volume, with blue colors representing an uptrend and red colors representing a downtrend.
The first motivation behind this indicator was to see if movements mostly made of declining volume were different from ones made of rising volume.
Waves of low amplitude represent movements with low trading activity.
Using higher values of Linearity allows giving less importance to individual volumes values, thus returning more linear waves as a result.
The indicator includes two levels, the upper one is derived from the cumulative mean of the waves based on rising volume, while the lower one is based on the cumulative mean of the waves based on declining volume, when a wave reaches a level we can expect the current trend to reverse. You can use different values of mult to control the distance from 0 of each level.
The trend is determined by the sign of the rise of a rolling linear regression.
Settings
- Length : Period of the indicator.
- Src : Source of the indicator.
- Linearity : Allows the output of the indicator to look more linear.
- Mult : the multiplicative factor of both the upper and lower levels
- Gradient : Use a gradient as color for the waves, true by default.
Usages
The trend volume accumulations (TVA) indicator allows determining the current price trend while taking into account volume, with blue colors representing an uptrend and red colors representing a downtrend.
The first motivation behind this indicator was to see if movements mostly made of declining volume were different from ones made of rising volume.
Waves of low amplitude represent movements with low trading activity.
Using higher values of Linearity allows giving less importance to individual volumes values, thus returning more linear waves as a result.
The indicator includes two levels, the upper one is derived from the cumulative mean of the waves based on rising volume, while the lower one is based on the cumulative mean of the waves based on declining volume, when a wave reaches a level we can expect the current trend to reverse. You can use different values of mult to control the distance from 0 of each level.
Release Notes
Minor Changes.Release Notes
Update to script title.
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All content provided by LuxAlgo is for informational & educational purposes only. Past performance does not guarantee future results.
Join our 150k+ community: discord.gg/lux
All content provided by LuxAlgo is for informational & educational purposes only. Past performance does not guarantee future results.
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.