Mayfair Supply & Demand Zones 1.0

2021年4月19日

Identifying Supply and Demand zones can be tricky.

Just using price levels can mislead you, so why not include volume ramps to detect zones?

This indicator does it for you. It spots areas where volume has rapidly increased, measures the speed of the increase, and assigns three different levels of importance.

The red areas are the strongest zones, followed by amber, then green, like a traffic light.

The red areas are persisted longer than the amber, which are persisted longer than the green. As the persistence fades, the colour of the zone fades as well.

It is possible to set the levels of all three volume thresholds to suit yourself, as well as the lookback period the script uses to detect volume increases.

In this chart, only very large volume increases are used:



As you can see, the bands are narrower, but we feel the defaults give the best results.