OPEN-SOURCE SCRIPT
Mis à jour VWAP Bands
Event Based VWAP Bands with EMA & TP Signals - Complete Guide
📊 Indicator Overview
This enhanced version of LuxAlgo's Event Based VWAP Bands combines the powerful Volume Weighted Average Price (VWAP) indicator with Exponential Moving Average (EMA) crossover signals and real-time Take Profit (TP) signals. The indicator provides a comprehensive trading system with multiple entry and exit signals based on price interactions with VWAP bands.
🔍 Core Components
1. VWAP (Volume Weighted Average Price)
Basis Line (Orange): Represents the volume-weighted average price
Upper Band (Blue): Basis + (Standard Deviation × Multiplier)
Lower Band (Red): Basis - (Standard Deviation × Multiplier)
Band Width: Determined by the Multiplier value (3.5 recommended)
2. EMA (Exponential Moving Average)
Blue Line: Smoothed price average with ultra-fast response (Length: 1 recommended)
Provides early entry signals through crossover detection
3. Take Profit (TP) System
BUY TP: Triggers IMMEDIATELY when price touches the Upper Band
SELL TP: Triggers IMMEDIATELY when price touches the Lower Band
Real-time detection: No waiting for bar close
🎯 Signal Logic & Timing
Signal Type Trigger Condition Timing Visual
BUY EMA crosses ABOVE VWAP Basis Bar Close Green "BUY" label
SELL EMA crosses BELOW VWAP Basis Bar Close Red "SELL" label
BUY TP Price touches Upper Band IMMEDIATE Lime "BUY TP" label
SELL TP Price touches Lower Band IMMEDIATE Fuchsia "SELL TP" label
Signal Detection Logic:
text
BUY Signal = ta.crossover(ema_value, pvwap) // EMA crosses above
SELL Signal = ta.crossunder(ema_value, pvwap) // EMA crosses below
BUY TP Signal = high >= upper_band and low <= upper_band // Price touches upper band
SELL TP Signal = high >= lower_band and low <= lower_band // Price touches lower band
⚙️ Recommended Settings (Default)
📈 VWAP Settings
text
✅ Start At First Bar: CHECKED
Length: 14 periods
Multiplier: 3.5 ★ (Critical for TP sensitivity)
Source: open
🎯 Event Settings
text
Event Type: Trend Change
External Cross/Event: open
📊 EMA Settings
text
EMA Length: 1 (Ultra-fast response)
Show EMA: CHECKED
🔔 Alert & Display Settings
text
Enable Alerts: CHECKED
Show TP Signals: CHECKED
Enable TP Alerts: CHECKED
💡 Why These Settings Work Best:
Setting Value Reason
Multiplier 3.5 Wider bands reduce false TP signals while capturing significant price movements
Source open More stable VWAP calculation using opening price
Event Trend Change Resets VWAP at trend reversals for better adaptability
EMA Length 1 Highly responsive to price changes for earlier signals
Start At First Bar True Ensures consistent VWAP calculation from chart beginning
🚨 Alert System
The indicator includes 4 separate alert conditions for comprehensive monitoring:
EMA Signals:
Buy Alert: "EMA crossed above VWAP Basis! Buy signal"
Sell Alert: "EMA crossed below VWAP Basis! Sell signal"
TP Signals:
Buy TP Alert: "Price touched VWAP Upper Band! BUY TP signal"
Sell TP Alert: "Price touched VWAP Lower Band! SELL TP signal"
Alert Status Indicators:
▲ (Green): Buy Alert Trigger
▼ (Red): Sell Alert Trigger
⬆ (Lime): Buy TP Trigger
⬇ (Fuchsia): Sell TP Trigger
📝 How to Use This Strategy
Entry Strategy (EMA Crossovers)
BUY Entry: When EMA crosses above VWAP Basis → Consider entering long position
SELL Entry: When EMA crosses below VWAP Basis → Consider entering short position
Exit/Take Profit Strategy
BUY TP: When price touches Upper Band → Take profit on long positions
SELL TP: When price touches Lower Band → Take profit on short positions
Risk Management Notes
Use Upper Band as realistic profit target for long positions
Use Lower Band as realistic profit target for short positions
Wider multiplier (3.5) provides more achievable profit targets
TP signals trigger in real-time, allowing immediate action
🎨 Visual Guide
Element Color Symbol Meaning
Upper Band Blue Line Resistance/Profit Target
Basis Orange Line VWAP Center
Lower Band Red Line Support/Profit Target
EMA Blue Line Moving Average
BUY Signal Green "BUY" label Entry signal
SELL Signal Red "SELL" label Entry signal
BUY TP Signal Lime "BUY TP" label Take profit signal
SELL TP Signal Fuchsia "SELL TP" label Take profit signal
⚠️ Important Notes
TP signals are real-time: Trigger immediately when price touches bands, bar close not required
EMA signals are bar-close: Traditional crossover signals confirmed at bar close
Multiplier affects all signals: Higher multiplier = wider bands = fewer but more significant signals
Multiple signals possible: EMA and TP signals can occur independently
Event-based reset: VWAP recalculates at Trend Change events for better accuracy
🔧 Customization Options
Users can adjust:
Multiplier: Control band width and TP sensitivity
EMA Length: Adjust signal speed (1 = fastest)
Source: Change VWAP calculation base
Event Type: Modify reset conditions
Colors: Customize visual appearance
Alerts: Enable/disable specific signals
📊 Example Scenario
text
Price Action:
1. EMA crosses above VWAP Basis → BUY signal (Green label)
2. Price rises and touches Upper Band → BUY TP signal (Lime label)
3. Take profit at Upper Band
4. Price reverses, EMA crosses below VWAP Basis → SELL signal (Red label)
5. Price falls and touches Lower Band → SELL TP signal (Fuchsia label)
6. Take profit at Lower Band
🙏 Special Thanks & Credits
This indicator builds upon the exceptional work of LuxAlgo, the original creator of the Event Based VWAP Bands indicator.
Why LuxAlgo's Work Matters:
Innovative Approach: Revolutionized VWAP calculation with event-based resets
Versatile Framework: Allows for creative extensions like this enhanced version
Professional Quality: Industry-standard code structure and reliability
Open Source Contribution: Enables the trading community to build and improve
Thank you, LuxAlgo, for developing such a robust and versatile VWAP framework that serves as the foundation for this enhanced indicator. Your contribution to the trading community is invaluable.
📌 Quick Reference Card
text
┌─────────────────────────────────────────────────────────────┐
│ SIGNAL REFERENCE CARD │
├─────────────────────────────────────────────────────────────┤
│ ENTRY SIGNALS: │
│ BUY : EMA crosses ABOVE VWAP Basis (Bar Close) │
│ SELL : EMA crosses BELOW VWAP Basis (Bar Close) │
│ │
│ EXIT/TP SIGNALS: │
│ BUY TP : Price touches UPPER Band (IMMEDIATE) │
│ SELL TP: Price touches LOWER Band (IMMEDIATE) │
├─────────────────────────────────────────────────────────────┤
│ RECOMMENDED SETTINGS: │
│ Multiplier: 3.5 │ EMA Length: 1 │
│ Source: open │ Event: Trend Change │
│ Start At First Bar: ✓ │ All Alerts: ✓ │
├─────────────────────────────────────────────────────────────┤
│ ALERT MESSAGES: │
│ 🟢 "EMA crossed above VWAP Basis! Buy signal" │
│ 🔴 "EMA crossed below VWAP Basis! Sell signal" │
│ 🟢 "Price touched VWAP Upper Band! BUY TP signal" │
│ 🔴 "Price touched VWAP Lower Band! SELL TP signal" │
└─────────────────────────────────────────────────────────────┘
🎯 Final Notes
This enhanced indicator provides traders with:
Clear entry signals through EMA crossovers
Real-time profit targets through TP signals
Multiple alert options for automated monitoring
Customizable settings for different trading styles
Professional-grade code based on LuxAlgo's framework
Disclaimer: This indicator is for educational and informational purposes only. Always conduct your own research, practice proper risk management, and test thoroughly before using in live trading. Past performance does not guarantee future results.
📊 Indicator Overview
This enhanced version of LuxAlgo's Event Based VWAP Bands combines the powerful Volume Weighted Average Price (VWAP) indicator with Exponential Moving Average (EMA) crossover signals and real-time Take Profit (TP) signals. The indicator provides a comprehensive trading system with multiple entry and exit signals based on price interactions with VWAP bands.
🔍 Core Components
1. VWAP (Volume Weighted Average Price)
Basis Line (Orange): Represents the volume-weighted average price
Upper Band (Blue): Basis + (Standard Deviation × Multiplier)
Lower Band (Red): Basis - (Standard Deviation × Multiplier)
Band Width: Determined by the Multiplier value (3.5 recommended)
2. EMA (Exponential Moving Average)
Blue Line: Smoothed price average with ultra-fast response (Length: 1 recommended)
Provides early entry signals through crossover detection
3. Take Profit (TP) System
BUY TP: Triggers IMMEDIATELY when price touches the Upper Band
SELL TP: Triggers IMMEDIATELY when price touches the Lower Band
Real-time detection: No waiting for bar close
🎯 Signal Logic & Timing
Signal Type Trigger Condition Timing Visual
BUY EMA crosses ABOVE VWAP Basis Bar Close Green "BUY" label
SELL EMA crosses BELOW VWAP Basis Bar Close Red "SELL" label
BUY TP Price touches Upper Band IMMEDIATE Lime "BUY TP" label
SELL TP Price touches Lower Band IMMEDIATE Fuchsia "SELL TP" label
Signal Detection Logic:
text
BUY Signal = ta.crossover(ema_value, pvwap) // EMA crosses above
SELL Signal = ta.crossunder(ema_value, pvwap) // EMA crosses below
BUY TP Signal = high >= upper_band and low <= upper_band // Price touches upper band
SELL TP Signal = high >= lower_band and low <= lower_band // Price touches lower band
⚙️ Recommended Settings (Default)
📈 VWAP Settings
text
✅ Start At First Bar: CHECKED
Length: 14 periods
Multiplier: 3.5 ★ (Critical for TP sensitivity)
Source: open
🎯 Event Settings
text
Event Type: Trend Change
External Cross/Event: open
📊 EMA Settings
text
EMA Length: 1 (Ultra-fast response)
Show EMA: CHECKED
🔔 Alert & Display Settings
text
Enable Alerts: CHECKED
Show TP Signals: CHECKED
Enable TP Alerts: CHECKED
💡 Why These Settings Work Best:
Setting Value Reason
Multiplier 3.5 Wider bands reduce false TP signals while capturing significant price movements
Source open More stable VWAP calculation using opening price
Event Trend Change Resets VWAP at trend reversals for better adaptability
EMA Length 1 Highly responsive to price changes for earlier signals
Start At First Bar True Ensures consistent VWAP calculation from chart beginning
🚨 Alert System
The indicator includes 4 separate alert conditions for comprehensive monitoring:
EMA Signals:
Buy Alert: "EMA crossed above VWAP Basis! Buy signal"
Sell Alert: "EMA crossed below VWAP Basis! Sell signal"
TP Signals:
Buy TP Alert: "Price touched VWAP Upper Band! BUY TP signal"
Sell TP Alert: "Price touched VWAP Lower Band! SELL TP signal"
Alert Status Indicators:
▲ (Green): Buy Alert Trigger
▼ (Red): Sell Alert Trigger
⬆ (Lime): Buy TP Trigger
⬇ (Fuchsia): Sell TP Trigger
📝 How to Use This Strategy
Entry Strategy (EMA Crossovers)
BUY Entry: When EMA crosses above VWAP Basis → Consider entering long position
SELL Entry: When EMA crosses below VWAP Basis → Consider entering short position
Exit/Take Profit Strategy
BUY TP: When price touches Upper Band → Take profit on long positions
SELL TP: When price touches Lower Band → Take profit on short positions
Risk Management Notes
Use Upper Band as realistic profit target for long positions
Use Lower Band as realistic profit target for short positions
Wider multiplier (3.5) provides more achievable profit targets
TP signals trigger in real-time, allowing immediate action
🎨 Visual Guide
Element Color Symbol Meaning
Upper Band Blue Line Resistance/Profit Target
Basis Orange Line VWAP Center
Lower Band Red Line Support/Profit Target
EMA Blue Line Moving Average
BUY Signal Green "BUY" label Entry signal
SELL Signal Red "SELL" label Entry signal
BUY TP Signal Lime "BUY TP" label Take profit signal
SELL TP Signal Fuchsia "SELL TP" label Take profit signal
⚠️ Important Notes
TP signals are real-time: Trigger immediately when price touches bands, bar close not required
EMA signals are bar-close: Traditional crossover signals confirmed at bar close
Multiplier affects all signals: Higher multiplier = wider bands = fewer but more significant signals
Multiple signals possible: EMA and TP signals can occur independently
Event-based reset: VWAP recalculates at Trend Change events for better accuracy
🔧 Customization Options
Users can adjust:
Multiplier: Control band width and TP sensitivity
EMA Length: Adjust signal speed (1 = fastest)
Source: Change VWAP calculation base
Event Type: Modify reset conditions
Colors: Customize visual appearance
Alerts: Enable/disable specific signals
📊 Example Scenario
text
Price Action:
1. EMA crosses above VWAP Basis → BUY signal (Green label)
2. Price rises and touches Upper Band → BUY TP signal (Lime label)
3. Take profit at Upper Band
4. Price reverses, EMA crosses below VWAP Basis → SELL signal (Red label)
5. Price falls and touches Lower Band → SELL TP signal (Fuchsia label)
6. Take profit at Lower Band
🙏 Special Thanks & Credits
This indicator builds upon the exceptional work of LuxAlgo, the original creator of the Event Based VWAP Bands indicator.
Why LuxAlgo's Work Matters:
Innovative Approach: Revolutionized VWAP calculation with event-based resets
Versatile Framework: Allows for creative extensions like this enhanced version
Professional Quality: Industry-standard code structure and reliability
Open Source Contribution: Enables the trading community to build and improve
Thank you, LuxAlgo, for developing such a robust and versatile VWAP framework that serves as the foundation for this enhanced indicator. Your contribution to the trading community is invaluable.
📌 Quick Reference Card
text
┌─────────────────────────────────────────────────────────────┐
│ SIGNAL REFERENCE CARD │
├─────────────────────────────────────────────────────────────┤
│ ENTRY SIGNALS: │
│ BUY : EMA crosses ABOVE VWAP Basis (Bar Close) │
│ SELL : EMA crosses BELOW VWAP Basis (Bar Close) │
│ │
│ EXIT/TP SIGNALS: │
│ BUY TP : Price touches UPPER Band (IMMEDIATE) │
│ SELL TP: Price touches LOWER Band (IMMEDIATE) │
├─────────────────────────────────────────────────────────────┤
│ RECOMMENDED SETTINGS: │
│ Multiplier: 3.5 │ EMA Length: 1 │
│ Source: open │ Event: Trend Change │
│ Start At First Bar: ✓ │ All Alerts: ✓ │
├─────────────────────────────────────────────────────────────┤
│ ALERT MESSAGES: │
│ 🟢 "EMA crossed above VWAP Basis! Buy signal" │
│ 🔴 "EMA crossed below VWAP Basis! Sell signal" │
│ 🟢 "Price touched VWAP Upper Band! BUY TP signal" │
│ 🔴 "Price touched VWAP Lower Band! SELL TP signal" │
└─────────────────────────────────────────────────────────────┘
🎯 Final Notes
This enhanced indicator provides traders with:
Clear entry signals through EMA crossovers
Real-time profit targets through TP signals
Multiple alert options for automated monitoring
Customizable settings for different trading styles
Professional-grade code based on LuxAlgo's framework
Disclaimer: This indicator is for educational and informational purposes only. Always conduct your own research, practice proper risk management, and test thoroughly before using in live trading. Past performance does not guarantee future results.
Notes de version
Updated TP System - Complete Explanation📊 New TP Signal Logic
The Take Profit (TP) system has been updated to use EMA crossover logic instead of price touch detection. This provides more reliable and less noisy signals.
🔄 Signal Definitions
BUY TP Signal
pinescript
buy_tp_signal = ta.crossunder(ema_value, upper_band)
Trigger: When EMA crosses BELOW the Upper Band
Meaning:
EMA is moving from above the Upper Band to below it
Indicates potential downward momentum exhaustion
Suggests it might be a good time to take profit on long positions or consider buying
SELL TP Signal
pinescript
sell_tp_signal = ta.crossover(ema_value, lower_band)
Trigger: When EMA crosses ABOVE the Lower Band
Meaning:
EMA is moving from below the Lower Band to above it
Indicates potential upward momentum exhaustion
Suggests it might be a good time to take profit on short positions or consider selling
🎯 Signal Comparison (Old vs New)
Aspect Old System New System
BUY TP Trigger Price touches Upper Band EMA crosses below Upper Band
SELL TP Trigger Price touches Lower Band EMA crosses above Lower Band
Signal Type Price-based (touch) Crossover-based
Noise Level Higher (frequent touches) Lower (smoother EMA)
Timing Immediate (real-time) Bar close (crossover)
Reliability Moderate Higher
📈 Signal Interpretation
Buy TP Signal
text
When: EMA crosses from above to below Upper Band
Action: Take profit on long positions
Rationale: Price has reached upper band and EMA confirms reversal
Sell TP Signal
text
When: EMA crosses from below to above Lower Band
Action: Take profit on short positions
Rationale: Price has reached lower band and EMA confirms reversal
🚨 Updated Alerts
Buy TP Alert
text
Title: "Buy TP Alert (EMA Crosses Below Upper Band)"
Message: "EMA crossed below VWAP Upper Band! BUY TP signal"
Sell TP Alert
text
Title: "Sell TP Alert (EMA Crosses Above Lower Band)"
Message: "EMA crossed above VWAP Lower Band! SELL TP signal"
🎨 Visual Indicators
Signal Color Position Label
BUY TP Lime Below bar "BUY TP"
SELL TP Fuchsia Above bar "SELL TP"
Trigger Icon ⬆ Bottom Buy TP trigger
Trigger Icon ⬇ Top Sell TP trigger
⚡ Key Advantages of New System
1. Reduced False Signals
EMA crossover provides smoother signals
Less susceptible to price wicks and noise
More reliable profit-taking levels
2. Better Timing
Signals occur on bar close
More definitive entries/exits
Avoids whipsaw from intraday price spikes
3. Confirmation
EMA acts as a filter
Requires both price level AND momentum confirmation
Higher probability of valid signals
4. Clearer Interpretation
Easier to understand signal generation
Consistent with traditional EMA crossover logic
More intuitive for traders
📊 Example Scenarios
Scenario 1: Uptrend → BUY TP
text
1. Price in uptrend, EMA above Upper Band
2. EMA crosses below Upper Band
3. BUY TP signal triggered
4. Take profit on long positions
Scenario 2: Downtrend → SELL TP
text
1. Price in downtrend, EMA below Lower Band
2. EMA crosses above Lower Band
3. SELL TP signal triggered
4. Take profit on short positions
🔧 Technical Details
Crossover Functions Used:
pinescript
// Cross below (BUY TP)
ta.crossunder(ema_value, upper_band) // EMA goes from above to below upper_band
// Cross above (SELL TP)
ta.crossover(ema_value, lower_band) // EMA goes from below to above lower_band
Band Calculations:
pinescript
upper_band = pvwap + dev // Upper resistance/profit level
lower_band = pvwap - dev // Lower support/profit level
💡 Trading Strategy Integration
Complete System Overview:
Phase Signal Type Trigger Action
Entry BUY EMA crosses above Basis Enter long
Entry SELL EMA crosses below Basis Enter short
Exit/TP BUY TP EMA crosses below Upper Band Take profit (long)
Exit/TP SELL TP EMA crosses above Lower Band Take profit (short)
⚠️ Important Notes
Signal Confirmation: TP signals occur on bar close, not intraday
Multiplier Effect: Higher multiplier (3.5) = wider bands = less frequent signals
EMA Length: Length 1 provides fastest response to price changes
Trend Change Event: VWAP resets at trend changes for better accuracy
Independent Signals: TP signals work independently from entry signals
📌 Quick Reference
text
┌─────────────────────────────────────────────────────────────┐
│ TP SYSTEM REFERENCE │
├─────────────────────────────────────────────────────────────┤
│ BUY TP : EMA crosses BELOW Upper Band │
│ SELL TP : EMA crosses ABOVE Lower Band │
├─────────────────────────────────────────────────────────────┤
│ WHEN TO USE: │
│ BUY TP → Take profit on LONG positions │
│ SELL TP → Take profit on SHORT positions │
├─────────────────────────────────────────────────────────────┤
│ ALERT MESSAGES: │
│ 🟢 "EMA crossed below VWAP Upper Band! BUY TP signal" │
│ 🔴 "EMA crossed above VWAP Lower Band! SELL TP signal" │
└─────────────────────────────────────────────────────────────┘
This updated TP system provides more reliable profit-taking signals by combining VWAP band levels with EMA momentum confirmation.
Notes de version
The TP system has been updated to percentage-based trailing TP.Script open-source
Dans l'esprit TradingView, le créateur de ce script l'a rendu open source afin que les traders puissent examiner et vérifier ses fonctionnalités. Bravo à l'auteur! Bien que vous puissiez l'utiliser gratuitement, n'oubliez pas que la republication du code est soumise à nos Règles.
Clause de non-responsabilité
Les informations et publications ne sont pas destinées à être, et ne constituent pas, des conseils ou recommandations financiers, d'investissement, de trading ou autres fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.
Script open-source
Dans l'esprit TradingView, le créateur de ce script l'a rendu open source afin que les traders puissent examiner et vérifier ses fonctionnalités. Bravo à l'auteur! Bien que vous puissiez l'utiliser gratuitement, n'oubliez pas que la republication du code est soumise à nos Règles.
Clause de non-responsabilité
Les informations et publications ne sont pas destinées à être, et ne constituent pas, des conseils ou recommandations financiers, d'investissement, de trading ou autres fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.