VZO - Volume Zone Oscillator - pro real time formula

// Stocks &; Commodities V. 29:5 (16-23, 28): In The Volume Zone by Walid Khalil and David Steckler
// for daily and weekly charts


rdue = Volume*(close-close[1])/(ABS(close-close[1]))

// all this expression is alwyas = 1: only sign changes for calculating VP
// (close-close[1])/(ABS(close-close[1])


// volume position

VP=ExponentialAverage[n](rdue)

// total volume

TV=ExponentialAverage[n](volume)

VZO = 100*VP/TV

return VZO as "VZO", ADX[n] as "adx"


// conditions: ADX >  18

// difficult to use: see articles for system rules strategies
// but notice that often, during a trend, indicator has throwback from +40 to 0 (in uptrend) and viceversa: this should be not worry
// Prices and divergences with VZO and cross of EMA-60 should be used (or SMA-50, already in the system)
// ** very odd but useful ** signals give by the cross of ADX18 and VZO!!

//indicator zones: 60, 40, 15, 0 -5, -40, -60
// add horizontl lines


*******

Original part [by Marcello Succi]: very interesting are the crosses with ADX (they give a signal for a very near change of trend)

Any source