Candle Smoother v2

Candle Smoother v2 is a Pine Script indicator for TradingView that smoothes candlestick data with a complex calculation and calculates also an Exponential Moving Average (EMA) on this basis. The indicator helps to better visualize market fluctuations and to identify potential trends more clearly.

Functions

• Smoothing of the candle data: Reduces market noise by adaptively calculating the open and close values.
  
• Visualization with color coding: The candles are displayed in green (lime) for bullish and red (red) for bearish movements.
  
• EMA calculation based on the smoothed data: An Exponential Moving Average (EMA) line is calculated and displayed.
  

Display of the candles
The smoothed open, high, low and close values are plotted as new candles. The color of the candles indicates the market direction:

• Green (lime): Bullish market
  
• Red (red): Bearish market
  

How to use

• Adding the indicator: Load the script in Pine Script on TradingView and add it to your chart.
  
• Adjusting the parameters: If desired, customize ATR Length and EMA Period to fit your trading strategy.
  

Interpretation

• Note the color change of the candles to identify trend changes early.
  
• Use the EMA line as potential support / resistance or trend confirmation.