Mr.J -- Accumulation Distribution Oscillator — Indicator by MrJozza

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.

Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.

Want to use this script on a chart?

// @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)