Confluence Framework Pro

Confluence Framework Pro is a discretionary market-context indicator that evaluates whether trend, structure, momentum, volume, and value are aligned in the same direction.
Instead of producing frequent entry signals, the script focuses on identifying periods of strong participation and avoiding low-quality or extended market conditions.
All calculations are performed on confirmed bar close and the indicator does not repaint.

How the indicator works
The framework evaluates eight independent components on every bar:

Trend & Direction

• Supertrend direction
  
• EMA position (price above/below long-term EMA)
  

Value

• Distance of price from session VWAP using ATR-normalized thresholds
  

Momentum & Participation

• RSI slope and level (above/below 40)
  
• Recent MACD crossover strength
  
• ADX trend strength with DI confirmation
  

Volume

• Current volume compared to its moving average
  

Market Structure

• Breakout of recent swing highs/lows using an ATR buffer
  

Each component contributes:

1. A binary match (used for minimum confluence requirements)
   
2. A weighted score (used for strength grading)
   

Confluence scoring & grading
Each condition contributes a fixed weight to a total score:

• Supertrend (20%)
  
• EMA alignment (18%)
  
• VWAP context (17%)
  
• ADX trend strength (16%)
  
• MACD momentum (12%)
  
• Market structure breakout (7%)
  
• RSI participation (5%)
  
• Volume confirmation (5%)
  

The final score is converted into a grade:

• A+ / A → strong multi-factor alignment
  
• B → partial alignment
  
• C → weak or early formation
  

The dominant side (bullish or bearish) becomes the displayed market bias.
Risk & market quality filters
Before any signal is allowed, the script blocks setups when:

• Price is excessively far from EMA or VWAP (chasing condition)
  
• Candle size is unusually large relative to ATR
  
• Volume is below threshold
  
• Market structure is weak
  

The dashboard displays the blocking reason (weak structure, low volume, big candle, or extended price).
Trading modes & risk profiles
Trading modes adjust indicator sensitivity:

• Intraday: 5m–15m
  
• Swing: 1H–4H
  
• Positional: Daily+
  

Risk profiles modify thresholds:

• Aggressive – earlier signals, looser filters
  
• Balanced – default
  
• Conservative – stronger confirmation, fewer signals
  

These settings affect ADX thresholds, minimum confluence count, volatility filters, and volume requirements.

Dashboard information
The on-chart dashboard displays:

• Buy & sell scores
  
• Current market bias
  
• Market regime (Trending / Balanced / Chop)
  
• Structure strength (Strong / Forming / Weak)
  
• Setup context (Aligned / Wait)
  
• Confluence grade
  

How to use
This indicator is intended as a market quality and bias filter, not a mechanical trading system.
Common uses:

• Trade only in the direction of the displayed bias
  
• Avoid entries when setup context is “WAIT”
  
• Prefer A/A+ grades for continuation trades
  
• Use structure state and regime to filter choppy markets
  

Best used alongside price action and risk management.
Important notes

• This is not an automated strategy
  
• It does not provide take-profit or stop-loss levels
  
• Alerts are contextual only
  
• All trading decisions remain the user’s responsibility
  

Disclaimer
This indicator is provided for educational and informational purposes only and does not constitute financial advice. Past performance does not guarantee future results.