VRD-5: Volume Reversal Detector (5 Bars)

Overview
This Pine Script indicator detects potential trend reversals based on volume patterns over a 5-bar period. It identifies accumulation (bullish) and distribution (bearish) patterns using volume analysis combined with price action.

Key Features
Volume Analysis:

Compares current volume to a 34-period SMA

Identifies strong/weak volume using configurable thresholds

Calculates volume "energy" as a 5-bar average ratio

Pattern Detection:

Bearish Signal: Looks for decreasing volume after a strong volume bar

Bullish Signal: Looks for increasing volume after weak volume bars

Visualization:

Colored volume histogram (bullish/bearish/neutral)

SMA volume line

Labels for detected signals

Customization Options:

Adjustable lookback period (3-10 bars)

Configurable thresholds for volume strength

Strict mode requiring confirming price action

Suggested Improvements
Performance Optimization:

Reduce the max_labels_count (currently 500) to improve performance

Consider using barstate.isconfirmed for more efficient calculations

Enhanced Visualization:

Add arrows on price chart for better visibility

Include a background color highlight for signal periods

Add option to display the energy level as a separate line

Additional Features:

Incorporate RSI or MACD for confirmation

Add multi-timeframe analysis capability

Include a strategy version for backtesting

Code Structure:

Separate the logic into distinct functions for better readability

Add more detailed comments for complex calculations

Consider using varip for real-time updates if needed

User Experience:

Add input options for label text size/position

Include sound options for alerts

Add a toggle for the information table

This indicator provides a solid foundation for volume-based reversal detection that could be further enhanced with these improvements while maintaining its core functionality.