// * VOLUME PRESSURE -COMPOSITE- WEIGHTED MOVING AVERAGE

// Ver. 1.0.beta.10.08.2015

// By Ricardo M Arjona @XeL_Arjona

//

// DISCLAIMER:

//

// The Following indicator/code IS NOT intended to be

// a formal investment advice or recommendation by the

// author, nor should be construed as such. Users

// will be fully responsible by their use regarding

// their own trading vehicles/assets.

//

// The embedded code and ideas within this work are

// FREELY AND PUBLICLY available on the Web

// for NON LUCRATIVE ACTIVITIES and must remain as is.

//

// Pine Script code MOD's and adaptations by @XeL_Arjona

// with special mention in regard of:

// + Buy (Bull) and Sell (Bear) "Power Balance Algorithm" by:

// Stocks & Commodities V. 21:10 (68-72):

// "Bull And Bear Balance Indicator by Vadim Gimelfarb"

// + Normalisation (Filter) from Karthik Marar's VSA work:

// http://karthikmarar.blogspot.mx

// + Adjusted Exponential Adaptation from original Volume

// Weighted Moving Average (VEMA) by @XeL_Arjona with

// commited help at the @pinescript chat room help

// with special mention to @RicardoSantos

// + Color Cloud Fill Condition algorithm by @ChrisMoody

//

// WHAT IS THIS?

//
// The following indicators try to acknowledge in a K-I-S-S

// approach to the eye (Keep-It-Simple-Stupid), the two most

// important aspects of nearly every trading vehicle:

// -- PRICE ACTION IN RELATION BY IT'S VOLUME --

//

// A) My approach is to make this indicator both as a "Trend Follower"

// as well as a Volatility expressed in the Bands which are the weighting

// basis of the trend given their "Cross Signal" given by

// the Buy & Sell Volume Pressures algorithm.

// << THEIR USE MUST BE CONSIDERED AS EXPERIMENTAL !! >>

//

// B) Please experiment with lookback periods against different

// timeframes. Given the nature of the Volume Mathematical Monster

// this kind of stydie is and in concordance with Price Action;

// at first glance I've noted that both in short as in long term

// periods, the indicator tends to adapt quite well to general

// price action conditions. BE ADVICED THIS IS EXPERIMENTAL!

//

// C) ALL NEW IDEAS OR MODIFICATIONS to these indicator(s) are

// Welcome in favor to deploy a better and more accurate readings.

// I will be very glad to be notified at Twitter or TradingVew

// accounts at: @XeL_Arjona

//

// Any important adition to this work MUST REMAIN

// PUBLIC by means of CreativeCommons CC & TradingView.

// 2015

//

//////////////////////////////////////////////////////////////////

study("VOLUME PRESSURE -COMPOSITE- WEIGHTED MOVING AVERAGE by @XeL_Arjona",

shorttitle="Volume based pricing", overlay=true)

p = input(title="Lookback Periods:", defval=3)

bands = input(false, title="Show Pressure Bands:")

colb = input(true, title="Color Trend on price bars:")

// MAIN GENERAL VARIABLES/FUNCTIONS

vol = iff(volume>0 ,volume, 1)

vema(array,periods,K) =>

VolW = vol*array

VolK = K/(periods+1)

VMsma = sum((VolW),periods)/sum(vol,periods)

VMema = na(VMema[1]) ? (VMsma*VolK) : ((VolW-VMema[1])*VolK)+VMema[1]

// Close Conditions for Pressure Algorithms

cl = close

op = open

hi = high

lo = low

// Bull And Bear "Power-Balance" by Vadim Gimelfarb Algorithm's

BP = iff(cl<op, iff(cl[1]<op, max(hi-cl[1], cl-lo),

max(hi-op, cl-lo)),

iff(cl>op, iff(cl[1]>op, hi-lo,

max(op-cl[1], hi-lo)),

iff(hi-cl>cl-lo, iff(cl[1]<op, max(hi-cl[1],cl-lo),

hi-op),

iff(hi-cl<cl-lo, iff(cl[1]>op, hi-lo,

max(op-cl[1], hi-lo)),

iff(cl[1]>op, max(hi-op, cl-lo),

iff(cl[1]<op, max(op-cl[1], hi-lo),

hi-lo))))))

SP = iff(cl<op, iff(cl[1]>op, max(cl[1]-op, hi-lo),

hi-lo),

iff(cl>op, iff(cl[1]>op, max(cl[1]-lo, hi-cl),

max(op-lo, hi-cl)),

iff(hi-cl>cl-lo, iff(cl[1]>op, max(cl[1]-op, hi-lo),

 hi-lo),

iff(hi-cl<cl-lo, iff(cl[1]>op, max(cl[1]-lo, hi-cl),

op-lo),

iff(cl[1]>op, max(cl[1]-op, hi-lo),

iff(cl[1]<op, max(op-lo, hi-cl),

hi-lo))))))

TP = BP+SP

// GENERAL CALCULATION VARIABLES FOR STUDIES

BPV = (BP/TP)*vol

SPV = (SP/TP)*vol

TPV = BPV+SPV

TH = max(high, close[1])

TL = min(low, close[1])

BPP = (TL+close)/2

SPP = (TH+close)/2

// Volume Pressures Weighted Averages

bpMavg = vema((BPV*BPP),p,3) / vema(TPV,p,3)*2

spMavg = vema((SPV*SPP),p,3) / vema(TPV,p,3)*2

VPMavg = (bpMavg+spMavg)/2

VPMAc = bpMavg > VPMavg ? green : red

// PLOT DIRECTIVES

//Cloud coloring method by @ChrisMoody

BPAbove = bpMavg >= spMavg ? 1 : na

SPBelow = bpMavg <= spMavg ? 1 : na

BPplotU = BPAbove ? bpMavg : na

SPplotU = BPAbove ? spMavg : na

BPplotD = SPBelow ? bpMavg : na

SPplotD = SPBelow ? spMavg : na

// Standard Line Coloring

CondCol = bpMavg > spMavg ? green : red

//Center Avg Line

plot(bands?na:VPMavg, color=CondCol, title='VPMA', style=line, linewidth=2)

//Cloud Lines Plot Statements - ***linebr to create rules for change in Shading

p1 = plot(bands and BPplotU ? BPplotU : na, title = 'BP/SP', style=linebr, linewidth=1, color=CondCol)

p2 = plot(bands and SPplotU ? SPplotU : na, title = 'SP/BP', style=linebr, linewidth=1, color=CondCol)

p3 = plot(bands and BPplotD ? BPplotD : na, title = 'BP/SP', style=linebr, linewidth=1, color=CondCol)

p4 = plot(bands and SPplotD ? SPplotD : na, title = 'SP/BP', style=linebr, linewidth=1, color=CondCol)

//Fills that color cloud based on Trend.

fill(p1, p2, color=green, transp=90, title='Cloud')

fill(p3, p4, color=red, transp=90, title='Cloud')

plot(bands and bpMavg ? bpMavg : na, title = 'BPavg', style=line, linewidth=1, color=green)

plot(bands and spMavg ? spMavg : na, title = 'SPavg', style=line, linewidth=1, color=red)

barcolor(colb?CondCol:na)