OPEN-SOURCE SCRIPT
Wave-PM
Updated
The Wave-PM (Whistler Active Volatility Energy - Price Mass) indicator is an oscillator described in Mark Whistler's book 'Volatility Illuminated'.
The Wave PM was specifically designed to help read cycles of volatility. Read when a strong trend is about to start and end, along with the potential duration of lateral chop. By using concepts of probability and volatility, which anyone can understand, retail traders can learn to think about 'risk' more like an institutional trader. With Wave-PM and an understanding of institutional risk-based trading, at home traders are able to start seeing volatility as opportunity, not an 'out of the blue' hindrance.
Price Mass is not a directional oscillator it's more of a gauge of potential energy left in the distribution cycle.
The Wave PM was specifically designed to help read cycles of volatility. Read when a strong trend is about to start and end, along with the potential duration of lateral chop. By using concepts of probability and volatility, which anyone can understand, retail traders can learn to think about 'risk' more like an institutional trader. With Wave-PM and an understanding of institutional risk-based trading, at home traders are able to start seeing volatility as opportunity, not an 'out of the blue' hindrance.
Price Mass is not a directional oscillator it's more of a gauge of potential energy left in the distribution cycle.
Release Notes
Updated plot titles as per recommendation from allansterOpen-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 publication is governed by House rules. You can favorite it to use it on a chart.
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