Edit: More examples in comments, TV doesn't like to publish with split charts ;)
As a popular volume indicator, Accumulation Distribution Oscillator makes it easy and simple to interpret amplitude changes in the accumulation distribution. Either an observed peak in positive or negative amplitude can be used to snipe high/low points or a crossover from a positive number to a negative amplitude can indicate the change of Accumulation to Distribution.
Hidden divergences can also be found by looking for differences in the price/volume amplitude, similar to OBV divergence rules.
As a popular volume indicator, Accumulation Distribution Oscillator makes it easy and simple to interpret amplitude changes in the accumulation distribution. Either an observed peak in positive or negative amplitude can be used to snipe high/low points or a crossover from a positive number to a negative amplitude can indicate the change of Accumulation to Distribution.
Hidden divergences can also be found by looking for differences in the price/volume amplitude, similar to OBV divergence rules.
// @author Mr. J, credit to JStewartTV for indicator idea and No1 for helping me get starting started coding.
// If this code is use in whole or in part, please add credit.
study("Accumulation Distribution Oscillator", shorttitle="AD OSC")
//Declarations
FMAAD=input(6)
SMAAD=input(10)
//Accumulation Distribution
FVA = ema(accdist,FMAAD) //Leading Volume Average
SVA = ema(accdist,SMAAD) //Tail Volume Average
DeltaVolumeAD = FVA - SVA
//Plotting
plot_colorAD = DeltaVolumeAD >= DeltaVolumeAD[1] ? purple : DeltaVolumeAD < DeltaVolumeAD[1] ? white : na
plot(DeltaVolumeAD, title="Histo", style=histogram, color=plot_colorAD, linewidth=1)