TAPLOT Volume Pocket Pivots

This volume indicator identifies up-day volume spikes that quality as pocket pivots. A pocket pivot volume is an up day volume that is greater than the highest down volume day of the last 10 down days (AKA 10 day pocket pivot).

Pocket Pivots are the work of Gil Morales and Chris Kacher.
http://www.wiley.com/WileyCDA/WileyTitle/productCd-0470616539,miniSiteCd-WILEYTRADING.html
http://www.wiley.com/WileyCDA/WileyTitle/productCd-1118273028,miniSiteCd-WILEYTRADING.html

My study checks volume only to see if they met the pocket pivot criteria.
The other stock criteria (strong fundamentals, no wedging, constructive basing, how extended price is -etc.) need to be evaluated separately. Please read author's books to fully understand how Pocket Pivots are to be used.

My implementation of it in this manner is to visually give a sense of institutional buying pressure (demand). This is not a trigger indicator. Read the author's books if you want to understand the difference between a "buy-able" Pocket Pivot and non-buy-able one.

Volume colors:

• 10 day pocket pivots are bright green bars
  
• 5 day pocket pivots are blue
  
• Regular up volume days are dark green or light gray (depending on the color scheme you choose)
  
• Down volume days are red or dark gray (depending on the color scheme you choose)
  

You have the option to choose your volume color scheme. My charts are mainly white and black candles, so the default volume color scheme is Light gray for up day volume and dark gray for down day volume. Fee free to change that through indicator settings.

Hope you find this useful. Please leave any questions you have in the comment section and I'll be happy to answer them.

Informacje o Wersji:

Darkening the 10 day pocket pivot bright green a bit. I think its a bit too bright. You can always change it from the settings. I updated my code source so thought about doing the same on the published one.

Informacje o Wersji:

Display volume in thousands and millions like in built-in volume indicator (1000000 -> 1.0M)

Informacje o Wersji:

Added 5 volume data box elements:

• Average daily volume (defaults to 50 days, configurable from indicator setting)
  
• Daily volume
  
• Percentage volume change (compared to daily average volume)
  
• Average dollar volume
  
• and Up/Down volume ratio. IBD defines U/D ration as "A 50-day ratio that is derived by dividing total volume on up days by the total volume on down days. A ratio greater than 1.0 implies positive demand for a stock"
  

Informacje o Wersji:

Making the placement of vol data boxes configurable from settings

Informacje o Wersji:

U/D ratio calculation was feeding from moving average period. So I am separating that as I realize not everyone likes to use 50 as their average volume. So you can now change your volume average period without impacting U/D ratio calculation.

Informacje o Wersji:

Per multiple requests, I've added the ability to change volume bar colors in a less confusing way.
Added a "DISPLAY" section under Input tab in indicator settings.
That will allow you to customize all volume bar colors to your likings. Please be aware that the color scheme choice at the top of the input section still applies. So keep that in mind when you are changing colors and customize the ones that corresponds to the color scheme you choose.
Thank you for your feedback!

Informacje o Wersji:

Per requests added the following enhancements:
* Identify volume dry ups when compared to 50 day volume average. The indicator will plot "dots" on the 50 MA average line. One light blue and one light red (colored configurable). Each signaling volume dry-up when compared to the average line. The dots will be plotted if average volume drops 45% below or 60% below average volume (you can adjust that from indicator settings but these are the values I use)
* You can now show/un-show 5 days Pocket Pivots (not sure why you would but you can if you'd like to)
* Also, you can now adjust the size of the volume data box and make it bigger if the default is too small
Thank you all for the feedback!

Informacje o Wersji:

Two enhancements added:
1- Ability to change volume moving average line color (Yay!)
2- The indicator now colors volume bars (bright red) when the bar is considered a distribution bar. You can turn this off from indicator setting if you prefer. It is enabled by default.
What is a distribution bar?
A trading bar (daily in the example chart below) that closes lower than the previous bar on above than average volume.
Down bars on higher than average volume closing in the upper 40% of their trading range are considered supportive action bars and do not count as distribution bars, and therefore are not colored by the indicator.
Example of Apple chart below from November 2021.
Notice how the left side of the base has some distribution days, which is normal during base building process. The right side of its base has zero distribution days and multiple pocket pivots on the right side of the chart. That is a constructive base volume pattern and what you would like to see in premium hand setups.

Informacje o Wersji:

Per request, adding the ability for folks to hide volume dry-up dots/circles on the moving average line and color the volume bars instead on volume dry-ups.
This will be turned off by default and you will need to turn it on if that's your preference.
This is how you can display volume dry-up after this enhancement.

And this is how the indicator always did it (my preferred way).

Informacje o Wersji:

Fixing a bug in Dark Theme colors.

Informacje o Wersji:

The latest version will take into account bar closing range.
Pocket pivots taking place on bars that close in the lower 3rd of the daily range should not be considered pocket pivots as they are more negative than positive action.
This update fixes that and only flags volume bars as pocket pivots if the bar range closes in the upper 2 thirds of the daily range.

Informacje o Wersji:

• Per request, added the ability for the indictor to identify and color highest up volume in a year.
  This is NOT highest Volume in a Year but rather Highest UP volume in a Year.
  Indicator looks at all UP volume days for the last year and color the vol bar cyan if today's up volume is the highest in a year.
  You will be able to customize the color and turn this option on/off from indicator setting!
  
• The indicator code has also been upgraded to version 5 from version 4 to keep.
  

Informacje o Wersji:

Adding time based projected volume.
While the candle is building on any timeframe, the projected volume will show in light blue on top of current volume bar.
You are able to turn it on/off from indicator settings as well as color and transparency.
Here is AMZN as an example on daily bar from around 08/31/2023 @ 12:45 PM CT.

Informacje o Wersji:

Adding ability for the indicator to spot Highest Volume ever traded on an UP day and color the volume bar brown. This is enabled by default but can be turned off if desired. Color is also customizable.
Please note that this is different than Highest Volume Ever as this is Highest UP Volume Ever.
VRT example:

Informacje o Wersji:

Changing Volume Average Line calculation to be dynamic based on the timeframe.

• Weekly chart will default to 10 week volume moving average
  
• All other timeframes will have 50 bar as default for volume moving average (example 50 days on daily)
  
• This change is enabled by default but you can turn it off from indicator setting.
  

Bill O'Neil's weekly volume analysis was based on 10 week volume moving average so making this enhancements to reflect that fact (its how I do it as well on MarketSmith).