Volume Confirmation Bars

📊
This script is a leveled-up companion to my earlier Volume Strength Highlight — but this time, it’s built with more focus on confirmation, clarity, and cleaner visual impact directly on your price chart.

🧠 What is this about?
This tool highlights candles only when volume truly matters — either when it’s unusually high or conspicuously low, compared to its recent average.
It uses a simple but powerful method:

A customizable SMA-based volume baseline

A multiplier filter to define what counts as "strong" or "weak" volume

Optional bar coloring to show volume sentiment right on your chart — no need to stare at the volume pane anymore.

🧮 How it works:
Average Volume Line:
We calculate a moving average (default 18 candles) of the volume. This acts as our benchmark.

Volume Spike Rule:
If current volume is above the average × multiplier (say, 1.3×), it’s marked as High Volume.

Low Volume Rule:
If current volume is below the average ÷ multiplier, it’s marked as Low Volume.

Bar Coloring:

🟢 High Volume Candle? → Green bar (you can customize it)

🔴 Low Volume Candle? → Red bar (also customizable)

Volume in between? → No coloring, just regular candles

This gives you instant volume sentiment, directly overlaid on price.

🔎 Why it matters:
Many traders watch for volume confirmation — whether it's a breakout, trend continuation, or reversal. But raw volume alone is noisy.
This script shows "when the crowd is truly active or asleep", making it perfect for:

Breakout strategies 🧨

Fakeout avoidance ⚠️

Confirming momentum moves 🚀

Identifying silent zones before news drops 📉

🛠 Settings You Control:
MA Length: How smooth or sensitive the baseline should be

Multiplier: Adjust how strict volume spikes need to be

Enable/Disable Coloring: Use as a visual tool or just a backend confirmation filter

Custom Colors: Match your theme 🎨

🧪 Tip:
You can combine this with any strategy or indicator — especially trend-following or candlestick-based tools like:

TSI / MACD

Engulfing or Hammer Candles

Support/Resistance Breakouts

✅ Use it as a volume filter, not a standalone system.
🔥 Works great with my "Volume Strength Highlight" script — use both together for better clarity!

Let me know if you’d like divergence alerts, volume zone shading, or a multi-timeframe version — always happy to build more for the community! 💬