OPEN-SOURCE SCRIPT
HA + HMA + VWAP
🔍 Script Overview
This indicator blends Heikin-Ashi smoothing, Hull Moving Average (HMA), and Volume Weighted Average Price (VWAP) to help traders identify trend direction and potential trade setups. The script provides buy/sell signals based on price action relative to HMA while anchoring the view to volume with VWAP.
📈 What It Does and How
- Heikin-Ashi Calculations: Reduces noise by averaging candle structure, revealing clearer trend direction.
- Hull Moving Average (HMA): A fast, smooth-moving average applied to Heikin-Ashi close prices, tuned to respond quickly to shifts in momentum.
- VWAP Line: Acts as a dynamic fair-value reference, balancing price against volume over time.
- Signal Logic: Generates visual Buy/Sell signals when the Heikin-Ashi close crosses the HMA.
🧠 Recommended Enhancements Using RSI + ATR
For more refined entries and exits, use this indicator alongside Relative Strength Index (RSI) and Average True Range (ATR):
- RSI for Momentum Confirmation: Ensure the buy signals align with upward momentum—RSI climbing from oversold zones adds conviction.
- ATR for Volatility Awareness: Use ATR to size stops and evaluate risk. Avoid trades during volatility spikes or when ATR exceeds typical thresholds.
- Three-Leg Alignment: When HA/HMA signal agrees with RSI momentum and ATR shows stable conditions, you get high-quality trade setups with better timing and risk control.
This fusion helps discretionary traders filter noise and make confident decisions rooted in price action, volume, momentum, and volatility.
⚙️ Chart Display
- HMA: red line
- VWAP: gray line
- Buy/Sell labels: green below bars for buys, red above bars for sells
- Clean layout optimized for visual clarity
This script is open-source and does not use future data or issue caution warnings. It’s designed to assist manual trading strategies, not provide automated trading decisions.
This indicator blends Heikin-Ashi smoothing, Hull Moving Average (HMA), and Volume Weighted Average Price (VWAP) to help traders identify trend direction and potential trade setups. The script provides buy/sell signals based on price action relative to HMA while anchoring the view to volume with VWAP.
📈 What It Does and How
- Heikin-Ashi Calculations: Reduces noise by averaging candle structure, revealing clearer trend direction.
- Hull Moving Average (HMA): A fast, smooth-moving average applied to Heikin-Ashi close prices, tuned to respond quickly to shifts in momentum.
- VWAP Line: Acts as a dynamic fair-value reference, balancing price against volume over time.
- Signal Logic: Generates visual Buy/Sell signals when the Heikin-Ashi close crosses the HMA.
🧠 Recommended Enhancements Using RSI + ATR
For more refined entries and exits, use this indicator alongside Relative Strength Index (RSI) and Average True Range (ATR):
- RSI for Momentum Confirmation: Ensure the buy signals align with upward momentum—RSI climbing from oversold zones adds conviction.
- ATR for Volatility Awareness: Use ATR to size stops and evaluate risk. Avoid trades during volatility spikes or when ATR exceeds typical thresholds.
- Three-Leg Alignment: When HA/HMA signal agrees with RSI momentum and ATR shows stable conditions, you get high-quality trade setups with better timing and risk control.
This fusion helps discretionary traders filter noise and make confident decisions rooted in price action, volume, momentum, and volatility.
⚙️ Chart Display
- HMA: red line
- VWAP: gray line
- Buy/Sell labels: green below bars for buys, red above bars for sells
- Clean layout optimized for visual clarity
This script is open-source and does not use future data or issue caution warnings. It’s designed to assist manual trading strategies, not provide automated trading decisions.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.