malama's volume spike

The "malama's volume spike" indicator identifies and highlights bars where the trading volume significantly exceeds the average, signaling potential market interest or activity. It calculates a Simple Moving Average (SMA) of the volume over a user-defined period and compares the current volume against this average multiplied by a specified threshold factor. Bars where the volume surpasses this threshold are colored yellow on the chart, providing a visual cue for traders to identify potential trading opportunities.

How It Works:
Volume Moving Average (SMA): The indicator computes the SMA of the volume over a period defined by the user (default is 20 bars).

Threshold Calculation: It multiplies the SMA by a user-defined factor (default is 2.0) to set the volume spike threshold.

Volume Spike Detection: If the current volume exceeds this threshold, the corresponding bar is highlighted in yellow.

Usage:
Volume MA Length: Adjust this parameter to set the period over which the volume SMA is calculated. A shorter length responds more quickly to recent volume changes, while a longer length smooths out short-term fluctuations.

Volume Threshold Factor: Modify this factor to set the sensitivity of the volume spike detection. A lower value will highlight more bars, while a higher value will highlight fewer, more significant spikes.