Volume Oscillator - MetaTrader 5 Script | Forex Indicator Download - MT4/MT5 Resources - MetaTrader 5 Resources

The Volume Oscillator is the ratio of two moving averages calculated based on volume.

 LongEMA = EMA(Volume, LongPeriod)

ShortEMA = EMA(Volume, ShortPeriod)

Volume Oscillator = 100 * (Short EMA - Long EMA) / Long EMA

Prices rising or falling as volume increases can potentially indicate the strength of a trend. In this case, if the Volume Oscillator is above the zero line, it confirms the price direction and market trend, whether the market is in an uptrend or a downtrend.

Price increases or decreases as volume decreases may signal a weakening trend. In this case, if the Volume Oscillator falls below the zero line, it may indicate weaker price direction and overall market trend.

Divergence in the negative territory of an oscillator usually indicates a possible trend reversal in the near future.

The indicator line fluctuates above and below the zero line, indicating the price trend and the strength of the move. Positive values ​​on the oscillator indicate that there is sufficient market support for the price to continue in its current trend direction. Negative values ​​indicate that there is no market support, indicating price stagnation or suggesting a trend reversal.

Attachment download

📎 volumeoscillator.mq5 (4.47 KB)

Source: MQL5 #49459