AVWAP Oscillator (Experimental Indicator)

This indicator illustrates the degree of support and resistance strength by using a set of VWAPs anchored to Willams Fractals.

• Green bars: percentage of AVWAPs built off Fractal Highs which are below the price action ("imposing increased support").
• Red bars: percentage of AVWAPs built off Fractal Lows which are above the price action ("imposing increased resistance").

Here's how we build it:

1. We build Williams Fractal with a given length
2. We build an AVWAP from each Fractal point
3. For every candle, we do the following:
   1. Take 10 of the most recent AVWAPs off Highs and 10 of the most recent AVWAPs off Lows
   2. Calculate percentage of AVWAPs built off Fractal Highs which are below the price action (painted as greenhistogram)
   3. Calculate percentage of AVWAPs built off Fractal Lows which are above the price action (painted as red histogram)

Here's how you read it ("All AWVAPs" refers to "AVWAPs built off Fractal Highs" or "AVWAPs built off Fractal Lows" respectively):

Important notes

Please note that this indicator is based on Williams Fractals (with a length defined by you, 5 being the default) which means that it's naturally a "repainting indicator". If you will use it in your scripts on TrendSpider, you will see a warning note about that. In general, an indicator being forward looking means that you can't rely on its signals until a few candles pass (half the "Length" candles, in this case).

Another important thing to know about this indicator is that it's one of the indicators which can't have the "minimal required amount of candles" computed in a reasonable way. Depending on how volatile the market is, you can have one Fractal point every 5 candles, or no Fractal points at all during 50 candles. This leads to AVWAP Oscillator being unable to compute in scanners or alerts on some markets (depending on the price action).