Volume Profile Auto

The Volume Profile Auto tool provides an automated, real-time volume profile visualization that uses line thickness to represent volume distribution across specific price levels within a defined timeframe. This indicator helps traders identify high-activity zones and Point of Control (POC) levels by dynamically updating as new market data arrives.

Usage

The Usage section describes how the script can be used to identify key liquidity areas and market interest. The indicator partitions price action into a user-defined number of "Parts" (segments). As price moves through these segments, the script calculates the accumulated volume and adjusts the line width accordingly; thicker lines represent higher volume clusters.

This tool is particularly useful for:

• Identifying Value Areas: Visualizing where the majority of trading activity has occurred within a specific session or higher timeframe.
• Spotting the POC: The script automatically highlights the segment with the highest volume (Point of Control) using a distinct color, serving as a potential support or resistance level.
• Multi-Timeframe Analysis: By using the "Automatic Settings," the script aligns the profile's duration based on your current chart timeframe (e.g., displaying daily profiles on an hourly chart).

Details

The script utilizes array.new_line() and array.new_box() to overcome the standard Pine Script limitation of not being able to draw between bars. Instead of a traditional horizontal histogram, it uses a series of vertical line segments at the start of a period.

Each lower-timeframe candle is checked against these price segments. When volume is recorded within a segment's price range, that segment's volume tally increases. On the last bar of the chart, the widths of these lines are normalized against the "Max Width" setting to ensure a clean visual representation. Unlike traditional profiles that often look back at historical data, this script builds the profile in real-time from the moment a new period begins.

Settings

• Parts: Determines the number of price segments (lines) the profile is divided into. Higher values provide higher resolution.
• Max Width: Sets the maximum pixel width for the lines representing the highest volume levels.
• Max Lines: Limits the total number of lines drawn on the chart to manage performance.
• Color Vol Max: The color assigned to the line segment with the highest volume (local POC).
• Color Vol: The base color for standard volume segments.
• Color POC: The color for the extended Point of Control line.
• Automatic Settings: When enabled, the script automatically selects an appropriate higher timeframe for the profile based on the current chart timeframe.
• Lower/Higher Timeframe: Manual overrides for the data collection and profile period when "Automatic Settings" is disabled.
• Visible Barcolor: Toggles the visibility of the underlying price bars.

FAQ

How do I adjust the sensitivity of the volume distribution?
You can increase the "Parts" setting to create more granular price segments, which provides a more detailed view of exactly where volume was traded.

Does the POC update in real-time?
Yes, the script constantly monitors volume accumulation and will shift the highlighted high-volume line and the extended POC line if a new price level surpasses the previous volume peak.

How can I access this indicator?
You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.