PLAIN VAMS

The PLAIN VAMS (Volatility-Adjusted Momentum Score) is a visual tool designed to help traders identify momentum shifts relative to prevailing volatility conditions. Unlike traditional momentum indicators, VAMS adapts dynamically to price fluctuations by comparing current price levels to volatility-based boundaries derived from customizable moving averages.

Key Features:
- Volatility-Adjusted Zones: Prices are evaluated against upper and lower dynamic boundaries, signaling potential overbought or oversold momentum conditions.

Two Modes:
- PLAIN VAMS (default): Uses a longer lookback period for smoother, trend-following behavior.
- RAW VAMS: A shorter lookback for high-sensitivity, intraday or scalping setups.

Customizable Moving Averages:
Choose from multiple MA types (EMA, SMA, WMA, etc.) to match your strategy preferences.

Visual Clarity:
- Color-coded candles for quick signal recognition.
- Optional background shading for immediate context.
- Boundary lines to define momentum thresholds.

How It Works:
The script calculates a moving average (based on user-selected type and period) and applies an upper and lower multiplier to create dynamic price boundaries. When price closes beyond these bands, it suggests a strong directional momentum move. The indicator is fully customizable to adapt to your trading style and timeframe.

Use Cases:
- Identify potential breakouts or trend continuations.
- Filter entries/exits based on momentum strength.
- Combine with other tools for confirmation in your strategy.

This indicator does not repaint or use future-looking data. It’s designed for discretionary and systematic traders looking for an adaptive way to visualize momentum relative to market volatility.