When trading with VWMA's, it is common to enter a position when the fast crosses over the slow . In other words, the fast was previously less than the slow and is now greater in value than the slow . Conversely, traders often exit their positions when the fast crosses under the slow .
This tool plots the absolute value of the difference between the fast and slow VWMA's as a histogram. When the difference between the fast and slow VWMA's is greater than zero (meaning fast > slow), then the bars are green. The bars then turn red when the fast is less than the slow . The blue circle-line is a of the difference between the two lines.
Here's a quick guide to interpreting the chart:
if (fast > slow ) and (difference < of differences)
then color = lime green
if (fast > slow ) and (difference > of differences)
then color = dark green
if (fast < slow ) and (difference < of differences)
then color = light red
if (fast < slow ) and (difference > of differences)
then color = dark red
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.