Volatility Resonance Candles

kelmarin

Volatility Resonance Candles visualize the dynamic interaction between price acceleration, volatility, and volume energy.
They’re designed to reveal moments when volatility expansion and directional momentum resonate — often preceding strong directional moves or reversals.

🔬 Concept
Traditional candles display direction and range, but they miss the energetic structure of volatility itself.
This indicator introduces a resonance model, where ATR ratio, price acceleration, and volume intensity combine to form a composite signal.

* ATR Resonance: compares short-term vs. long-term volatility
* Acceleration: captures the rate of price change
* Volume Energy: reinforces the move’s significance
When these components align, the candle color “resonates” — brighter, more intense candles signal stronger volatility–momentum coupling.

⚙️ Features
* Adaptive Scaling
Normalizes energy intensity dynamically across a user-defined lookback period, ensuring consistency in changing market conditions.
* Power-Law Transformation
Optional non-linear scaling (gamma) emphasizes higher-energy events while keeping low-intensity noise visually subdued.
* Divergence Mode
When enabled, colors can invert to highlight energy divergence from candle direction (e.g., bearish pressure during bullish closes).
* Customizable Styling
Full control over bullish/bearish base colors, transparency scaling, and threshold sensitivity.

🧠 Interpretation
* Bright / High-Intensity Candles → Strong alignment of volatility and directional energy.
Often signals the resonant phase of a move — acceleration backed by volatility expansion and volume participation.
* Dim / Low-Intensity Candles → Energy dispersion or consolidation.
These typically mark quiet zones, pauses, or inefficient volatility.
* Opposite-Colored Candles (if divergence mode on) → Potential inflection zones or hidden stress in the trend structure.

⚠️ Disclaimer
This script is for educational purposes only.
It does not constitute financial advice, and past performance is not indicative of future results. Always do your own research and test strategies before making trading decisions.

semalam

Nota Keluaran

Volatility Resonance Candles visualize the dynamic interplay between price acceleration, volatility, and volume energy. They highlight moments when volatility expansion and directional momentum resonate — often preceding strong directional moves or reversals.

🔬 Concept
Traditional candles show direction and range, but they don’t reveal the energetic structure of volatility itself. This indicator introduces a resonance model, where ATR ratio, price acceleration, and volume intensity combine to form a composite signal:
• ATR Resonance – compares short-term vs. long-term volatility
• Acceleration – captures the rate of price change
• Volume Energy – reinforces the move’s significance

When these components align, the candle color “resonates.” Brighter, more intense candles indicate stronger volatility–momentum coupling.

For optimal visualization, turn off candle bodies in chart settings to make candles hollow before using the indicator. This ensures the resonance colors display clearly and without obstruction.


⚙️ Features
• Adaptive Scaling – normalizes energy intensity dynamically across a user-defined lookback period for consistent readings in changing market conditions.
• Power-Law Transformation – optional non-linear scaling (gamma) emphasizes high-energy events while visually subduing low-intensity noise.
• Divergence Mode – inverts colors to highlight energy divergence from candle direction (e.g., bearish pressure during bullish closes).


🧠 Interpretation
• Bright / High-Intensity Candles → Strong alignment of volatility and directional energy; often marks the resonant phase of a move backed by volume.
• Dim / Low-Intensity Candles → Energy dispersion or consolidation; typically indicates quiet zones or pauses.
• Opposite-Colored Candles (with divergence mode) → Potential inflection zones or hidden stress in the trend structure


⚠️ Disclaimer
This script is for educational purposes only.
It does not constitute financial advice, and past performance is not indicative of future results. Always do your own research and test strategies before making trading decisions.