Volume Based Colored Candle For ThinkOrSwim

NormalTrader888 · Mar 6, 2026

mod note:
Volume‑Validated Trend Color (VVTC) — How Traders Should Use It
VVTC identifies sustained trend conditions by requiring alignment between moving averages, slope, volume participation, momentum direction, and VWAP position. The study is designed to provide confirmation that a move has real participation behind it.

VVTC does not fire early and does not flip often; it waits for structure, volume, and momentum to agree before marking a trend. Once a trend is established, VVTC holds the state until an opposite trend is confirmed, which helps traders stay with strong moves and avoid reacting to drift. The colors show the strength of the active trend, while the arrows mark the moment a new trend is validated.

Trying something new. Please test it out. Need help since it's my very first custom indicator.

State	Requirements	What It Means
Bull	Price above both EMAs, EMAs aligned, slopes positive, volume above average, momentum positive, VWAP support	Trend is active and supported by participation
Bear	Price below both EMAs, EMAs aligned, slopes negative, volume above average, momentum negative, VWAP resistance	Trend is active and controlled by sellers
Hold	No opposite confirmation	Trend remains in effect until proven otherwise

Color	Condition	Use Case
Cyan / Magenta	Strong volume and strong momentum	Confirms trend continuation
Light Green / Bright Red	Strong volume	Confirms participation after a breakout
Green / Red	Significant volume	Confirms trend validity
Dark Green / Dark Red	Low volume	Trend intact but not expanding
Muted Tones	Candle against trend	Pullback inside an active trend
Gray	No trend	Standby until structure forms

Code:

# ═══════════════════════════════════════════════════════════════════
# Volume-Validated Trend Color (VVTC) — 5-Minute Edition
# ═══════════════════════════════════════════════════════════════════

declare upper;

# ═══════════════════════════════════════════════════════════════════
# INPUTS
# ═══════════════════════════════════════════════════════════════════

input trendMaLen    = 21;
input fastMaLen     = 8;
input volLookback   = 15;
input volMultiplier = 1.3;
input volStrongMult = 2.0;
input atrLen        = 10;
input momentumLen   = 5;
input showLabels    = yes;
input useVwap       = yes;
input strictMode    = yes;

# ═══════════════════════════════════════════════════════════════════
# MOVING AVERAGES
# ═══════════════════════════════════════════════════════════════════

def trendMA    = ExpAverage(close, trendMaLen);
def fastMA     = ExpAverage(close, fastMaLen);
def trendSlope = trendMA - trendMA[2];
def fastSlope  = fastMA  - fastMA[1];

# ═══════════════════════════════════════════════════════════════════
# VWAP — using built-in to avoid recursive def issues
# ═══════════════════════════════════════════════════════════════════

def isNewDay     = GetDay() != GetDay()[1];
def cumVolPrice  = if isNewDay then close * volume
                  else cumVolPrice[1] + close * volume;
def cumVol       = if isNewDay then volume
                  else cumVol[1] + volume;
def vwapLine     = if !useVwap then close
                  else if cumVol > 0 then cumVolPrice / cumVol
                  else close;
def aboveVwap = close > vwapLine;
def belowVwap = close < vwapLine;

# ═══════════════════════════════════════════════════════════════════
# VOLUME
# ═══════════════════════════════════════════════════════════════════

def avgVol      = Average(volume, volLookback);
def volRatio    = if avgVol != 0 then volume / avgVol else 1;
def isSigVol    = volRatio >= volMultiplier;
def isStrongVol = volRatio >= volStrongMult;
def isNormalVol = volRatio >= 1.0;

def recentSigVol    = isSigVol    or isSigVol[1]    or isSigVol[2];
def recentStrongVol = isStrongVol or isStrongVol[1] or isStrongVol[2];

# ═══════════════════════════════════════════════════════════════════
# MOMENTUM
# ═══════════════════════════════════════════════════════════════════

def atrVal      = ATR(atrLen);
def safeATR     = if atrVal > 0 then atrVal else 0.0001;
def momentum    = close - close[momentumLen];
def momStrength = AbsValue(momentum) / safeATR;
def strongMom   = momStrength > 1.2;
def weakMom     = momStrength < 0.4;
def bullMom     = momentum > 0;
def bearMom     = momentum < 0;

# ═══════════════════════════════════════════════════════════════════
# CANDLE BODY
# ═══════════════════════════════════════════════════════════════════

def bullCandle = close > open;
def bearCandle = close < open;
def candleRange  = high - low;
def bodySize     = AbsValue(close - open);
def bodyRatio    = if candleRange != 0 then bodySize / candleRange else 0;
def strongCandle = bodyRatio > 0.5;

# ═══════════════════════════════════════════════════════════════════
# TREND CONDITIONS
# Price must be on correct side of both MAs,
# MAs must be aligned, slopes must agree,
# and VWAP must confirm (if enabled)
# ═══════════════════════════════════════════════════════════════════

def priceAboveBoth  = close > trendMA and close > fastMA;
def priceBelowBoth  = close < trendMA and close < fastMA;
def masAlignedBull  = fastMA > trendMA;
def masAlignedBear  = fastMA < trendMA;
def slopesBull      = trendSlope > 0 and fastSlope > 0;
def slopesBear      = trendSlope < 0 and fastSlope < 0;

def vwapBull = if useVwap then aboveVwap else 1;
def vwapBear = if useVwap then belowVwap else 1;

def rawBull = priceAboveBoth and masAlignedBull and slopesBull and vwapBull;
def rawBear = priceBelowBoth and masAlignedBear and slopesBear and vwapBear;

# ═══════════════════════════════════════════════════════════════════
# VOLUME VALIDATED TREND
# ═══════════════════════════════════════════════════════════════════

def volConfirmedBull = rawBull and recentSigVol and !weakMom and bullMom;
def volConfirmedBear = rawBear and recentSigVol and !weakMom and bearMom;

# ═══════════════════════════════════════════════════════════════════
# TREND STATE — persistent, sticky
# ═══════════════════════════════════════════════════════════════════

def trendState =
    if volConfirmedBull then  1
    else if volConfirmedBear then -1
    else trendState[1];

def inBull    = trendState ==  1;
def inBear    = trendState == -1;
def inNeutral = trendState ==  0;

def newBullTrend = inBull and trendState[1] != 1;
def newBearTrend = inBear and trendState[1] != -1;

# ═══════════════════════════════════════════════════════════════════
# STRICT MODE — candle direction must agree with trend
# ═══════════════════════════════════════════════════════════════════

def candleAgrees  = (inBull and bullCandle) or (inBear and bearCandle);
def candleOpposes = (inBull and bearCandle) or (inBear and bullCandle);

def showFull = if strictMode then candleAgrees  else 1;
def showDim  = if strictMode then candleOpposes else 0;

# ═══════════════════════════════════════════════════════════════════
# CANDLE COLOR
# ═══════════════════════════════════════════════════════════════════

AssignPriceColor(
    if inBull and showFull and recentStrongVol and strongMom
        then CreateColor(0,   255, 255)   # Cyan        - max bull
    else if inBull and showFull and recentStrongVol
        then CreateColor(0,   230, 130)   # Light green - strong vol
    else if inBull and showFull and recentSigVol
        then CreateColor(0,   190, 90)    # Green       - sig vol
    else if inBull and showFull
        then CreateColor(0,   140, 55)    # Dark green  - low vol
    else if inBull and showDim
        then CreateColor(40,  80,  60)    # Muted       - pullback in uptrend

    else if inBear and showFull and recentStrongVol and strongMom
        then CreateColor(255, 0,   255)   # Magenta     - max bear
    else if inBear and showFull and recentStrongVol
        then CreateColor(230, 0,   80)    # Bright red  - strong vol
    else if inBear and showFull and recentSigVol
        then CreateColor(190, 0,   55)    # Red         - sig vol
    else if inBear and showFull
        then CreateColor(140, 0,   35)    # Dark red    - low vol
    else if inBear and showDim
        then CreateColor(80,  40,  50)    # Muted       - bounce in downtrend

    else CreateColor(100, 100, 100)       # Gray        - no trend
);

# ═══════════════════════════════════════════════════════════════════
# MA + VWAP PLOTS
# ═══════════════════════════════════════════════════════════════════

plot TrendMAPlot = trendMA;
TrendMAPlot.SetLineWeight(2);
TrendMAPlot.AssignValueColor(
    if inBull then CreateColor(0,   200, 100)
    else if inBear then CreateColor(200, 0,   60)
    else Color.GRAY
);

plot FastMAPlot = fastMA;
FastMAPlot.SetLineWeight(1);
FastMAPlot.SetStyle(Curve.SHORT_DASH);
FastMAPlot.AssignValueColor(
    if inBull then CreateColor(0,   255, 150)
    else if inBear then CreateColor(255, 80,  80)
    else Color.DARK_GRAY
);

plot VwapPlot = if useVwap then vwapLine else Double.NaN;
VwapPlot.SetDefaultColor(CreateColor(255, 200, 0));
VwapPlot.SetLineWeight(2);

# ═══════════════════════════════════════════════════════════════════
# EMA CLOUD
# ═══════════════════════════════════════════════════════════════════

AddCloud(
    if inBull then fastMA  else Double.NaN,
    if inBull then trendMA else Double.NaN,
    CreateColor(0, 50, 25), CreateColor(0, 50, 25)
);
AddCloud(
    if inBear then fastMA  else Double.NaN,
    if inBear then trendMA else Double.NaN,
    CreateColor(50, 0, 15), CreateColor(50, 0, 15)
);

# ═══════════════════════════════════════════════════════════════════
# TREND CHANGE ARROWS
# ═══════════════════════════════════════════════════════════════════

plot BullArrow = if newBullTrend then low  else Double.NaN;
BullArrow.SetPaintingStrategy(PaintingStrategy.ARROW_UP);
BullArrow.SetDefaultColor(CreateColor(0, 255, 255));
BullArrow.SetLineWeight(4);

plot BearArrow = if newBearTrend then high else Double.NaN;
BearArrow.SetPaintingStrategy(PaintingStrategy.ARROW_DOWN);
BearArrow.SetDefaultColor(CreateColor(255, 0, 255));
BearArrow.SetLineWeight(4);

# ═══════════════════════════════════════════════════════════════════
# LABELS
# ═══════════════════════════════════════════════════════════════════

AddLabel(showLabels,
    "Trend: " + (if inBull then "BULL" else if inBear then "BEAR" else "NEUTRAL"),
    if inBull then CreateColor(0, 230, 100)
    else if inBear then CreateColor(230, 0, 60)
    else Color.GRAY
);

AddLabel(showLabels,
    "Vol: " + Round(volRatio, 1) + "x " +
    (if isStrongVol then "STRONG" else if isSigVol then "SIG" else "WEAK"),
    if isStrongVol then CreateColor(0,   255, 255)
    else if isSigVol    then CreateColor(0,   200, 100)
    else                     Color.GRAY
);

AddLabel(showLabels and useVwap,
    "VWAP: " + (if aboveVwap then "ABOVE" else "BELOW"),
    if aboveVwap then CreateColor(0, 200, 100)
    else              CreateColor(200, 0, 60)
);

AddLabel(showLabels,
    "Mom: " + Round(momStrength, 2) +
    (if strongMom then " STRONG" else if weakMom then " WEAK" else " MOD"),
    if strongMom then CreateColor(0,   230, 120)
    else if weakMom  then Color.GRAY
    else                  Color.WHITE
);

useThinkScript · Mar 11, 2026

Member-Requested Indicator Critique

Overall Score: 7.5/10 for swing trading

Category	Rating	Why
Trend confirmation		Over‑gated logic is perfect for swings
Trend persistence		Sticky state is ideal
Volume behavior		Good for multi‑day accumulation
Momentum behavior		ATR‑normalized is appropriate
VWAP behavior		Not ideal, but not harmful
Transition detection		Missing entirely
Reversal detection		Missing entirely
Pullback detection		Strict mode hides key candles

This script is a trend/structure identifier.
The moving averages required to do this are purposefully lagging in order to not whipsaw.
The lag of the moving averages and the ATR make it contraindicated for use with entry or exit.
But for trend analysis, this is an excellent study.

Thank you for your contribution.

Cwparker23 · Mar 11, 2026

What indicator are you using to create the wedge?

NormalTrader888 · Thursday at 12:44 PM

I have so many indicators that I use and deactivate, so I'll have to look for that. you're not talking about the support and resistance but the continuous green and red trendlines, right?

Cwparker23 · Thursday at 7:14 PM

NormalTrader888 said:
I have so many indicators that I use and deactivate, so I'll have to look for that. you're not talking about the support and resistance but the continuous green and red trendlines, right?

The cyan and red clouds above and below price in the picture

lanceofhb · 2026-03-18T13:55:20-0400

NormalTrader888 said:

mod note:
Volume‑Validated Trend Color (VVTC) — How Traders Should Use It
VVTC identifies sustained trend conditions by requiring alignment between moving averages, slope, volume participation, momentum direction, and VWAP position. The study is designed to provide confirmation that a move has real participation behind it.

VVTC does not fire early and does not flip often; it waits for structure, volume, and momentum to agree before marking a trend. Once a trend is established, VVTC holds the state until an opposite trend is confirmed, which helps traders stay with strong moves and avoid reacting to drift. The colors show the strength of the active trend, while the arrows mark the moment a new trend is validated.

Trying something new. Please test it out. Need help since it's my very first custom indicator.

State	Requirements	What It Means
Bull	Price above both EMAs, EMAs aligned, slopes positive, volume above average, momentum positive, VWAP support	Trend is active and supported by participation
Bear	Price below both EMAs, EMAs aligned, slopes negative, volume above average, momentum negative, VWAP resistance	Trend is active and controlled by sellers
Hold	No opposite confirmation	Trend remains in effect until proven otherwise

Color	Condition	Use Case
Cyan / Magenta	Strong volume and strong momentum	Confirms trend continuation
Light Green / Bright Red	Strong volume	Confirms participation after a breakout
Green / Red	Significant volume	Confirms trend validity
Dark Green / Dark Red	Low volume	Trend intact but not expanding
Muted Tones	Candle against trend	Pullback inside an active trend
Gray	No trend	Standby until structure forms

Code:

# ═══════════════════════════════════════════════════════════════════
# Volume-Validated Trend Color (VVTC) — 5-Minute Edition
# ═══════════════════════════════════════════════════════════════════

declare upper;

# ═══════════════════════════════════════════════════════════════════
# INPUTS
# ═══════════════════════════════════════════════════════════════════

input trendMaLen    = 21;
input fastMaLen     = 8;
input volLookback   = 15;
input volMultiplier = 1.3;
input volStrongMult = 2.0;
input atrLen        = 10;
input momentumLen   = 5;
input showLabels    = yes;
input useVwap       = yes;
input strictMode    = yes;

# ═══════════════════════════════════════════════════════════════════
# MOVING AVERAGES
# ═══════════════════════════════════════════════════════════════════

def trendMA    = ExpAverage(close, trendMaLen);
def fastMA     = ExpAverage(close, fastMaLen);
def trendSlope = trendMA - trendMA[2];
def fastSlope  = fastMA  - fastMA[1];

# ═══════════════════════════════════════════════════════════════════
# VWAP — using built-in to avoid recursive def issues
# ═══════════════════════════════════════════════════════════════════

def isNewDay     = GetDay() != GetDay()[1];
def cumVolPrice  = if isNewDay then close * volume
                  else cumVolPrice[1] + close * volume;
def cumVol       = if isNewDay then volume
                  else cumVol[1] + volume;
def vwapLine     = if !useVwap then close
                  else if cumVol > 0 then cumVolPrice / cumVol
                  else close;
def aboveVwap = close > vwapLine;
def belowVwap = close < vwapLine;

# ═══════════════════════════════════════════════════════════════════
# VOLUME
# ═══════════════════════════════════════════════════════════════════

def avgVol      = Average(volume, volLookback);
def volRatio    = if avgVol != 0 then volume / avgVol else 1;
def isSigVol    = volRatio >= volMultiplier;
def isStrongVol = volRatio >= volStrongMult;
def isNormalVol = volRatio >= 1.0;

def recentSigVol    = isSigVol    or isSigVol[1]    or isSigVol[2];
def recentStrongVol = isStrongVol or isStrongVol[1] or isStrongVol[2];

# ═══════════════════════════════════════════════════════════════════
# MOMENTUM
# ═══════════════════════════════════════════════════════════════════

def atrVal      = ATR(atrLen);
def safeATR     = if atrVal > 0 then atrVal else 0.0001;
def momentum    = close - close[momentumLen];
def momStrength = AbsValue(momentum) / safeATR;
def strongMom   = momStrength > 1.2;
def weakMom     = momStrength < 0.4;
def bullMom     = momentum > 0;
def bearMom     = momentum < 0;

# ═══════════════════════════════════════════════════════════════════
# CANDLE BODY
# ═══════════════════════════════════════════════════════════════════

def bullCandle = close > open;
def bearCandle = close < open;
def candleRange  = high - low;
def bodySize     = AbsValue(close - open);
def bodyRatio    = if candleRange != 0 then bodySize / candleRange else 0;
def strongCandle = bodyRatio > 0.5;

# ═══════════════════════════════════════════════════════════════════
# TREND CONDITIONS
# Price must be on correct side of both MAs,
# MAs must be aligned, slopes must agree,
# and VWAP must confirm (if enabled)
# ═══════════════════════════════════════════════════════════════════

def priceAboveBoth  = close > trendMA and close > fastMA;
def priceBelowBoth  = close < trendMA and close < fastMA;
def masAlignedBull  = fastMA > trendMA;
def masAlignedBear  = fastMA < trendMA;
def slopesBull      = trendSlope > 0 and fastSlope > 0;
def slopesBear      = trendSlope < 0 and fastSlope < 0;

def vwapBull = if useVwap then aboveVwap else 1;
def vwapBear = if useVwap then belowVwap else 1;

def rawBull = priceAboveBoth and masAlignedBull and slopesBull and vwapBull;
def rawBear = priceBelowBoth and masAlignedBear and slopesBear and vwapBear;

# ═══════════════════════════════════════════════════════════════════
# VOLUME VALIDATED TREND
# ═══════════════════════════════════════════════════════════════════

def volConfirmedBull = rawBull and recentSigVol and !weakMom and bullMom;
def volConfirmedBear = rawBear and recentSigVol and !weakMom and bearMom;

# ═══════════════════════════════════════════════════════════════════
# TREND STATE — persistent, sticky
# ═══════════════════════════════════════════════════════════════════

def trendState =
    if volConfirmedBull then  1
    else if volConfirmedBear then -1
    else trendState[1];

def inBull    = trendState ==  1;
def inBear    = trendState == -1;
def inNeutral = trendState ==  0;

def newBullTrend = inBull and trendState[1] != 1;
def newBearTrend = inBear and trendState[1] != -1;

# ═══════════════════════════════════════════════════════════════════
# STRICT MODE — candle direction must agree with trend
# ═══════════════════════════════════════════════════════════════════

def candleAgrees  = (inBull and bullCandle) or (inBear and bearCandle);
def candleOpposes = (inBull and bearCandle) or (inBear and bullCandle);

def showFull = if strictMode then candleAgrees  else 1;
def showDim  = if strictMode then candleOpposes else 0;

# ═══════════════════════════════════════════════════════════════════
# CANDLE COLOR
# ═══════════════════════════════════════════════════════════════════

AssignPriceColor(
    if inBull and showFull and recentStrongVol and strongMom
        then CreateColor(0,   255, 255)   # Cyan        - max bull
    else if inBull and showFull and recentStrongVol
        then CreateColor(0,   230, 130)   # Light green - strong vol
    else if inBull and showFull and recentSigVol
        then CreateColor(0,   190, 90)    # Green       - sig vol
    else if inBull and showFull
        then CreateColor(0,   140, 55)    # Dark green  - low vol
    else if inBull and showDim
        then CreateColor(40,  80,  60)    # Muted       - pullback in uptrend

    else if inBear and showFull and recentStrongVol and strongMom
        then CreateColor(255, 0,   255)   # Magenta     - max bear
    else if inBear and showFull and recentStrongVol
        then CreateColor(230, 0,   80)    # Bright red  - strong vol
    else if inBear and showFull and recentSigVol
        then CreateColor(190, 0,   55)    # Red         - sig vol
    else if inBear and showFull
        then CreateColor(140, 0,   35)    # Dark red    - low vol
    else if inBear and showDim
        then CreateColor(80,  40,  50)    # Muted       - bounce in downtrend

    else CreateColor(100, 100, 100)       # Gray        - no trend
);

# ═══════════════════════════════════════════════════════════════════
# MA + VWAP PLOTS
# ═══════════════════════════════════════════════════════════════════

plot TrendMAPlot = trendMA;
TrendMAPlot.SetLineWeight(2);
TrendMAPlot.AssignValueColor(
    if inBull then CreateColor(0,   200, 100)
    else if inBear then CreateColor(200, 0,   60)
    else Color.GRAY
);

plot FastMAPlot = fastMA;
FastMAPlot.SetLineWeight(1);
FastMAPlot.SetStyle(Curve.SHORT_DASH);
FastMAPlot.AssignValueColor(
    if inBull then CreateColor(0,   255, 150)
    else if inBear then CreateColor(255, 80,  80)
    else Color.DARK_GRAY
);

plot VwapPlot = if useVwap then vwapLine else Double.NaN;
VwapPlot.SetDefaultColor(CreateColor(255, 200, 0));
VwapPlot.SetLineWeight(2);

# ═══════════════════════════════════════════════════════════════════
# EMA CLOUD
# ═══════════════════════════════════════════════════════════════════

AddCloud(
    if inBull then fastMA  else Double.NaN,
    if inBull then trendMA else Double.NaN,
    CreateColor(0, 50, 25), CreateColor(0, 50, 25)
);
AddCloud(
    if inBear then fastMA  else Double.NaN,
    if inBear then trendMA else Double.NaN,
    CreateColor(50, 0, 15), CreateColor(50, 0, 15)
);

# ═══════════════════════════════════════════════════════════════════
# TREND CHANGE ARROWS
# ═══════════════════════════════════════════════════════════════════

plot BullArrow = if newBullTrend then low  else Double.NaN;
BullArrow.SetPaintingStrategy(PaintingStrategy.ARROW_UP);
BullArrow.SetDefaultColor(CreateColor(0, 255, 255));
BullArrow.SetLineWeight(4);

plot BearArrow = if newBearTrend then high else Double.NaN;
BearArrow.SetPaintingStrategy(PaintingStrategy.ARROW_DOWN);
BearArrow.SetDefaultColor(CreateColor(255, 0, 255));
BearArrow.SetLineWeight(4);

# ═══════════════════════════════════════════════════════════════════
# LABELS
# ═══════════════════════════════════════════════════════════════════

AddLabel(showLabels,
    "Trend: " + (if inBull then "BULL" else if inBear then "BEAR" else "NEUTRAL"),
    if inBull then CreateColor(0, 230, 100)
    else if inBear then CreateColor(230, 0, 60)
    else Color.GRAY
);

AddLabel(showLabels,
    "Vol: " + Round(volRatio, 1) + "x " +
    (if isStrongVol then "STRONG" else if isSigVol then "SIG" else "WEAK"),
    if isStrongVol then CreateColor(0,   255, 255)
    else if isSigVol    then CreateColor(0,   200, 100)
    else                     Color.GRAY
);

AddLabel(showLabels and useVwap,
    "VWAP: " + (if aboveVwap then "ABOVE" else "BELOW"),
    if aboveVwap then CreateColor(0, 200, 100)
    else              CreateColor(200, 0, 60)
);

AddLabel(showLabels,
    "Mom: " + Round(momStrength, 2) +
    (if strongMom then " STRONG" else if weakMom then " WEAK" else " MOD"),
    if strongMom then CreateColor(0,   230, 120)
    else if weakMom  then Color.GRAY
    else                  Color.WHITE
);

Trying it out today on SPY. Not getting any Labels.

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Volume Based Colored Candle For ThinkOrSwim

NormalTrader888

New member

useThinkScript

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Cwparker23

Active member

NormalTrader888

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Cwparker23

Active member

lanceofhb

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