FSVZO [Alpha Extract]

A sophisticated volume-weighted momentum oscillator that combines Fourier smoothing with Volume Zone Oscillator methodology to deliver institutional-grade flow analysis and divergence detection. Utilizing advanced statistical filtering including ADF trend analysis and multi-dimensional volume dynamics, this indicator provides comprehensive market sentiment assessment through volume-price relationships with extreme zone detection and intelligent divergence recognition for high-probability reversal and continuation signals.

🔶 Advanced VZO Calculation Engine

Implements enhanced Volume Zone Oscillator methodology using relative volume analysis combined with smoothed price changes to create momentum-weighted oscillator values. The system applies exponential smoothing to both volume and price components before calculating positive and negative momentum ratios with trend factor integration for market regime awareness.

🔶 Fourier-Based Smoothing Architecture

Features advanced Fourier approximation smoothing using cosine-weighted calculations to reduce noise while preserving signal integrity. The system applies configurable Fourier length parameters with weighted sum normalization for optimal signal clarity across varying market conditions with enhanced responsiveness to genuine trend changes.

// Fourier Smoothing Algorithm
fourier_smooth(src, length) =>
    sum = 0
    weightSum = 0
    for i = 0 to length - 1
        weight = cos(2 * π * i / length)
        sum += src * weight
        weightSum += weight
    sum / weightSum

🔶 Intelligent Divergence Detection System

Implements comprehensive divergence analysis using pivot point methodology with configurable lookback periods for both standard and hidden divergence patterns. The system validates divergence conditions through range analysis and provides visual confirmation through plot lines, labels, and color-coded identification for precise timing analysis.

15MIN

4H

12H


🔶 Flow Momentum Analysis Framework

Calculates flow momentum by measuring oscillator deviation from its exponential moving average, providing secondary confirmation of volume flow dynamics. The system creates momentum-based fills and visual indicators that complement the primary oscillator analysis for comprehensive market flow assessment.

🔶 Extreme Zone Detection Engine

Features sophisticated extreme zone identification at ±98 levels with specialized marker system including white X markers for signals occurring in extreme territory and directional triangles for potential reversal points. The system provides clear visual feedback for overbought/oversold conditions with institutional-level threshold accuracy.

🔶 Dynamic Visual Architecture

Provides advanced visualization engine with bullish/bearish color transitions, dynamic fill regions between oscillator and signal lines, and flow momentum overlay with configurable transparency levels. The system includes flip markers aligned to color junction points for precise signal timing with optional bar close confirmation to prevent repainting.

🔶 ADF Trend Filtering Integration

Incorporates Augmented Dickey-Fuller inspired trend filtering using normalized price statistics to enhance signal quality during trending versus ranging market conditions. The system calculates trend factors based on mean deviation and standard deviation analysis for improved oscillator accuracy across market regimes.

🔶 Comprehensive Alert System

Features intelligent multi-tier alert framework covering bullish/bearish flow detection, extreme zone reversals, and divergence confirmations with customizable message templates. The system provides real-time notifications for critical volume flow changes and structural market shifts with exchange and ticker integration.

🔶 Performance Optimization Framework

Utilizes efficient calculation methods with optimized variable management and configurable smoothing parameters to balance signal quality with computational efficiency. The system includes automatic pivot validation and range checking for consistent performance across extended analysis periods with minimal resource usage.

This indicator delivers sophisticated volume-weighted momentum analysis through advanced Fourier smoothing and comprehensive divergence detection capabilities. Unlike traditional volume oscillators that focus solely on volume patterns, the FSVZO integrates volume dynamics with price momentum and statistical trend filtering to provide institutional-grade flow analysis. The system's combination of extreme zone detection, intelligent divergence recognition, and multi-dimensional visual feedback makes it essential for traders seeking systematic approaches to volume-based market analysis across cryptocurrency, forex, and equity markets with clearly defined reversal and continuation signals.