OPEN-SOURCE SCRIPT
Volume Equilibrium Overlay(2 of 2)
This is an overlay for a prior script I've created: Volume Equilibrium.
To sum it up in a brief manner, this script plots when there is "volume-equilibrium" aka prices that the market may see as "fair-value" relative to the specified timeframe. This script provides what my last code lacked and that is a visual representation of critical prices.
The arrows beside the indications indicate the direction that the buying/selling volume was heading towards.
UP ARROW - indicates that equilibrium was had via increasing buy volume
DOWN ARROW - indicates that equilibrium was had via decreasing buy volume
Remember, this doesn't inherently mean that a stock is supposed to go up or down. Its just a representation of 'fair-value' points using volume. Also remember... both indicators provide what the other lacks. It isn't necessary to use both but for a broad overview of volume it definitely helps to at least be aware of how this information can be represented. Perhaps... consider switching between the two to see what you may be missing.
I believe finding 'fair-value' points via volume and price action provides a more objective way to measure what prices one should look at rather then arbitrary lines plotted on a chart. For more information feel welcome to look at the script that this code is based off of.
To sum it up in a brief manner, this script plots when there is "volume-equilibrium" aka prices that the market may see as "fair-value" relative to the specified timeframe. This script provides what my last code lacked and that is a visual representation of critical prices.
The arrows beside the indications indicate the direction that the buying/selling volume was heading towards.
UP ARROW - indicates that equilibrium was had via increasing buy volume
DOWN ARROW - indicates that equilibrium was had via decreasing buy volume
Remember, this doesn't inherently mean that a stock is supposed to go up or down. Its just a representation of 'fair-value' points using volume. Also remember... both indicators provide what the other lacks. It isn't necessary to use both but for a broad overview of volume it definitely helps to at least be aware of how this information can be represented. Perhaps... consider switching between the two to see what you may be missing.
I believe finding 'fair-value' points via volume and price action provides a more objective way to measure what prices one should look at rather then arbitrary lines plotted on a chart. For more information feel welcome to look at the script that this code is based off of.
Script open-source
Dans le plus pur esprit TradingView, l'auteur de ce script l'a publié en open-source, afin que les traders puissent le comprendre et le vérifier. Bravo à l'auteur! Vous pouvez l'utiliser gratuitement, mais la réutilisation de ce code dans une publication est régie par nos Règles. Vous pouvez le mettre en favori pour l'utiliser sur un graphique.
Vous voulez utiliser ce script sur un graphique ?
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.