APO Channel

This script plots a dynamic channel around the price on a TradingView chart, based on volatility and an adaptive filtering method (APO – Adaptive Price Oscillator). It also signals breakouts with arrows and can color the candles according to the trend.

2️⃣ Main Features

APO Channel

Calculates a filtered price (Filt) based on volatility and an adaptive parameter alpha.

Plots two bands around this price (Filt1 = upper, Filt2 = lower) to form the channel.

Breakout Signals

Upper band: if price crosses above Filt1 → “break up” signal (up arrow).

Lower band: if price crosses below Filt2 → “break down” signal (down arrow).

Colors and Candles

Candle colors change according to the trend:

Green = bullish momentum

Blue = bearish momentum

Gray = neutral

Optional: leave candles uncolored if you prefer.

Labels

Shows either the price or average volume depending on settings.

Label size is configurable: Small, Normal, or Large.

Configurable Inputs

Length (N): number of periods to calculate the channel.

Bands Distance: distance of the bands from the filtered price.

Choice of data for labels: Price or Average Volume.

Colors for signals and candles.

3️⃣ Visual Result

A central line (Filt) with two bands representing the channel.

Candles can be colored according to the current signal.

Arrows and labels appear on channel breakouts.

In short, this script is a trend-following and breakout detection tool, providing clear visualization on the chart through colors, labels, and adaptive candles.