Open Interest Weighted Average Price [Arjo]

2025年12月27日

Open Interest Weighted Average Price [Arjo], or OIWAP [Arjo], is a simple visual indicator that shows the average price of an asset based on changes in open interest.

Instead of using trading volume like VWAP, this indicator gives more weight to prices where new futures contracts are being added or removed. This helps highlight the price levels where traders are actively building or closing positions.

The indicator shows:

• A main line that represents the average price weighted by open interest changes.
  
• Upper and lower bands (standard deviation bands) that show how far the price moves away from this average.
  

OIWAP [Arjo] is mainly useful for NSE futures markets, where open interest data is available. It helps traders visually understand where most market participation and positioning are taking place relative to price.

Concepts:

• Applies statistical concepts, including weighted averaging and standard deviation, to open interest data
  
• Uses the absolute change in open interest as a weighting factor for each price point
  
• Creates a dynamic average that reflects where significant open interest activity has occurred during a given period
  
• Standard deviation bands are computed from this weighted average to show the statistical spread of prices around the OIWAP line
  
• Resets calculations based on user-selected time periods (daily, weekly, monthly, or session-based)
  
• Allows for fresh analysis at regular intervals
  
• Similar concept to volume-weighted average price (VWAP) indicators, but uses open interest changes as the weighting component
  

Features:

1. Weighted Average: Calculates a central line based on contract activity.
   
2. Flexible Anchors: Allows users to choose the reset period for the calculation.
   
3. Volatility Bands: Displays outer and mid-bands to visualize price stretches.
   
4. Data Check: Built-in alerts notify you if Open Interest data is missing for a symbol.
   
5. Visual Zones: Color-coded areas help identify price location at a glance.
   

How To Use
When you add the indicator to your chart, you will see:

• A main OIWAP line — the open-interest-weighted price level
  
• Mid-bands around the line (±0.5 standard deviations)
  
• Outer bands farther away (±2.0 standard deviations)
  
• Shaded background zones between these lines
  

You can:

• Change the reset period to see how the average behaves over different time ranges
  
• Adjust the timeframe for open-interest data
  
• Turn mid-bands on or off
• Adjust colors and styles to improve readability
  

Conclusion

• The OIWAP [Arjo] indicator serves as an educational tool for visualizing the relationship between price movements and open interest activity in futures markets
  
• Presents a weighted average price line along with statistical deviation bands
  
• Offers a structured framework for chart analysis
  
• Customizable settings allow users to adapt the display to their analytical preferences
  
• Maintains focus on visual interpretation rather than directional predictions
  
• Functions as a supplementary charting overlay that may complement other forms of technical and fundamental analysis
  

Disclaimer
This indicator is for educational and visual-analysis purposes only. It does not provide trading signals, financial advice, or guaranteed outcomes. You should perform your own research and consult a licensed financial professional when needed. All trading decisions are solely the responsibility of the user.

2月21日

リリースノート

The indicator now works across Indian markets, crypto, CME, and more.