OPEN-SOURCE SCRIPT
Volatility weighted ma
The next in my series of weighted moving averages is the Volatility Weighted Moving Average.
The Volatility Weighted Moving Average (Volwma) calculates the average price over a certain period,
contrary to the well known Volume weighted ma, it is weighted by volatilty,
meaning big price moves don't always need big volume but also have a lot of importance!
In this indicator these big price moves are factored in to calculate the ma behaviour.
As the ma is quite biased on price moves it can quickly give an indication of a ranging vs trending market by angle of the ma.
In ranging market it quickly flattens out and could be used to filter out insignificant low volatility moves
compared to regular ma's or the standard volume weighted ma
Another use of it could be as entry/exit signals or
as a means of a trailing stop or a hard exit for a strategy or
as a "baseline" to combine with other signals
feel free to experiment!!!
If you use the Volwma in your scripts or your work, a shoutout would be nice!!
Gr, JD.
#NotTradingAdvice #DYOR
The Volatility Weighted Moving Average (Volwma) calculates the average price over a certain period,
contrary to the well known Volume weighted ma, it is weighted by volatilty,
meaning big price moves don't always need big volume but also have a lot of importance!
In this indicator these big price moves are factored in to calculate the ma behaviour.
As the ma is quite biased on price moves it can quickly give an indication of a ranging vs trending market by angle of the ma.
In ranging market it quickly flattens out and could be used to filter out insignificant low volatility moves
compared to regular ma's or the standard volume weighted ma
Another use of it could be as entry/exit signals or
as a means of a trailing stop or a hard exit for a strategy or
as a "baseline" to combine with other signals
feel free to experiment!!!
If you use the Volwma in your scripts or your work, a shoutout would be nice!!
Gr, JD.
#NotTradingAdvice #DYOR
Script open-source
In pieno spirito TradingView, il creatore di questo script lo ha reso open-source, in modo che i trader possano esaminarlo e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricorda che la ripubblicazione del codice è soggetta al nostro Regolamento.
Disclaimer.
I AM NOT A FINANCIAL ADVISOR.
THESE IDEAS ARE NOT ADVICE AND ARE FOR EDUCATION PURPOSES ONLY.
ALWAYS DO YOUR OWN RESEARCH!
JD.
You can contact me for info/access in PM or on Telegram: @jduyck
PLS, DON'T ASK FOR ACCESS IN THE COMMENT SECTION!
I AM NOT A FINANCIAL ADVISOR.
THESE IDEAS ARE NOT ADVICE AND ARE FOR EDUCATION PURPOSES ONLY.
ALWAYS DO YOUR OWN RESEARCH!
JD.
You can contact me for info/access in PM or on Telegram: @jduyck
PLS, DON'T ASK FOR ACCESS IN THE COMMENT SECTION!
Declinazione di responsabilità
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.
Script open-source
In pieno spirito TradingView, il creatore di questo script lo ha reso open-source, in modo che i trader possano esaminarlo e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricorda che la ripubblicazione del codice è soggetta al nostro Regolamento.
Declinazione di responsabilità
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.