Buying - Selling Strength

1 May

This script is designed as a TradingView indicator called "Buying Selling Volume". It aims to provide insights into buying and selling pressures in the market, along with the comparison of these pressures against moving averages.

Calculation of Buying and Selling Volumes:
Buying Volume (BV) is calculated based on the difference between the close price and the low price, weighted by the volume traded.
Selling Volume (SV) is calculated based on the difference between the high price and the close price, weighted by the volume traded.
These volumes are normalized to ensure positive values.
Plotting of Buying and Selling Volumes:
The script plots the Buying Volume (green) and Selling Volume (red) on the chart using vertical bars.
Each bar represents the relative strength of buying or selling pressure at a given point in time.
Moving Averages Calculation:
Users can select the type of moving average (SMA, EMA, WMA, or VWMA) and the length of each moving average.
Moving averages are calculated for both buying and selling volumes based on the selected parameters.
Plotting of Moving Averages:
The script plots the selected moving averages for buying (blue) and selling (orange) volumes on the chart.
These moving averages provide smoothed representations of the underlying volume trends.
Bar Color and Background Color:
The script dynamically adjusts the color of the bars and the background based on specific conditions:
If both buying and selling volumes are above their respective moving averages, the bar color is green, indicating a bullish signal.
If both volumes are below their moving averages, the bar color is red, indicating a bearish signal.
If buying volume is above its moving average while selling volume is below its moving average, the bar color is yellow, suggesting mixed market sentiment.
Otherwise, the bar color is gray, indicating a neutral market condition.