Hamming Windowed Volume-Weighted Bidirectional Momentum-Adaptive Exponential Weighted Moving Average
This script is an advanced financial indicator that calculates a Hamming Windowed Volume-Weighted Bidirectional Momentum-Adaptive Exponential Weighted Moving Average (MA-EWMA). It adapts dynamically to market conditions, adjusting key parameters like lookback period, momentum length, and volatility sensitivity based on price volatility.
Key Components:
Dynamic Adjustments: The indicator adjusts its lookback and momentum length using the ATR (Average True Range), making it more responsive to volatile markets. Volume Weighting: It incorporates volume data, weighting the moving average based on the volume activity, adding further sensitivity to price movement. Bidirectional Momentum: It calculates upward and downward momentum separately, using these values to determine the directional weighting of the moving average. Hamming Window: This technique smooths the price data by applying a Hamming window, which helps to reduce noise in the data and enhances the accuracy of the moving average. Channels: Instead of plotting a single line, the script creates dynamic channels, providing more context for support and resistance levels based on the market's behavior. The result is a highly adaptive and sophisticated moving average indicator that responds dynamically to both price momentum and volume trends.