Volume Bubbles

Volume Bubbles Indicator

Introduction

The Volume Bubbles indicator is a powerful tool designed to visually highlight significant volume spikes on your TradingView charts. It helps traders identify potential areas of whale accumulation (large buying activity) or dumping (large selling activity) by displaying colored bubbles on candles where volume exceeds a customizable threshold. Green bubbles indicate bullish (buy) volume on up candles, suggesting possible accumulation, while red bubbles signal bearish (sell) volume on down candles, indicating potential dumping. The bubble size scales with the volume magnitude, making it easy to spot major market moves at a glance.
This indicator is particularly useful for crypto, forex, and stock traders looking to gauge market sentiment and large player involvement without cluttering the chart. It's built in Pine Script v5 and overlays directly on your price action.
How It Works
The indicator calculates a moving average of volume (default: 20-period SMA) and detects spikes when current volume exceeds this average by a multiplier (default: 2x).

• Buy Bubbles (Green): Appear on bullish candles (close >= open) at the low wick, representing potential whale buying or accumulation zones.
  
• Sell Bubbles (Red): Appear on bearish candles (close < open) at the high wick, indicating potential whale selling or dumping zones.
  
• Bubble Size: Dynamically sized based on volume thresholds – huge for >1M, large for 500K-1M, normal for <500K.
  
• Transparency: Increases with volume ratio for better visibility on extreme spikes.
  
• Tooltip:
  Hover over a bubble to see detailed info like total volume, average volume, and ratio.

By focusing on these high-volume events, traders can spot key support/resistance levels where whales might be active.

How to Use for Whale Accumulation and Dumping
Whales (large holders) often move markets with high-volume trades. This indicator helps spot them:

• Accumulation (Buying): Look for clusters of large green bubbles at price lows or during consolidations. This suggests whales are buying dips, potentially signaling a reversal or uptrend start. Combine with support levels for confirmation.
  
• Dumping (Selling): Watch for big red bubbles at price highs or after rallies. This indicates whales unloading positions, which could lead to downtrends or corrections. Pair with resistance levels.
  

Tips:

• Use on higher timeframes (e.g., 1H+) for reliable signals.
  
• Confirm with other indicators like RSI or MACD to avoid false positives.
  
• In trending markets, buy bubbles in uptrends confirm strength; sell bubbles in downtrends signal continuation.
  

Credits and Disclaimer
Inspired by volume analysis techniques. This is free to use; feedback welcome! Not financial advice – trade at your own risk.