I implemented Price Confirmation Indicator (VPCI), invented by Buff Dormeier.
I applied the logic in the book "Investing with Analysis".
Like , it can also be used as a divergence or convergence method. The default value of whether to use this function is off.
Gold cross and dead cross points can also be marked. The default in this case is on.
It will be continuously updated. I will add the [four kinds of strategic sectors; sooner or later with the .
Thank you so much.
I fixed some bugs.
* added the license of this script
* Improved the readability and consistency of codes
1. Removed the function to calculate by signal method like MACD
2. Improving cross-point display logic: Enter the upper and lower percentile values and calculate to display.
Golden Cross (buy recommendation) and Dead Cross (sell recommendation) outside the range.
example) if is ,
Golden Cross is calculated from the bottom percentages between 80% and 100%
and the target range of Death Cross is top percentages between 0% and 20%.
3. Added alpha coefficient
Let alpha be the value obtained by dividing the coefficient of variance of the price by the coefficient of variance of the volume.
I multiply it and calculate VPCI = alpha x VPC x VPR x VM to mitigate it if it overreacts to fluctuations in trading volume.
If the option is off, 1 is assigned to alpha and VPCI is calculated as the existing way.
* CV = std(values) / avg(values)
1. Removed ALPHA coefficient logic
2. Removed Top and Bottom percent rank logic
3. Support period setting up to 5
Fixed incorrect spelling
Increased the readability of the script
Changed the version numbering rule: YYYY.MM.DD.
// Fixed incorrect spelling
// Changed the version numbering rule: YYYY.MM.DD.lowercase_alphabetical_order
// 1. Assigned so that the product of short and long duration defaults is 50000.
// It's an experimental feature, so I put it in out of curiosity.
// Since the value of product has a constant constant value, the direction of the five VPCIs tends to converge.
// I expect to be able to predict more clearly in which direction the price will go.
// 2. Changed the default value of VPCIS graph to continuous graph of circle.
// 3. Assigned the 5 types of color classification as rainbow colors.
// 4. VPCI legend 1 to 5, respectively, set to RED, ORANGE, YELLOW, GREEN, BLUE as default values.
// 1. Removed the default setting "Assigned so that the product of short and long duration defaults is 50000".
// Rolled back to previous version values.
1. Modified placement of option settings for ease of use
2. Fixed default value of series 1 line to "style_circles"
1. Renamed "short" to "fast" and "long" to "slow"
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.