GVWD | QuantumResearch

26 בפבר׳

QuantumResearch GVWD – Gaussian Volume-Weighted Deviation

The GVWD (Gaussian Volume-Weighted Deviation) is a powerful trend-following and volatility-based indicator that integrates Gaussian smoothing, volume-weighted price action, and adaptive ATR-based deviation bands. This combination allows traders to analyze market trends with enhanced precision while filtering out short-term noise. 🚀📊

1. Key Features

• Gaussian Smoothing – Uses a Gaussian-weighted filter to refine price trends and remove noise. 📉📈
  
• Volume-Weighted Adaptation – Incorporates volume-based price weighting for more responsive trend detection. 🔄
  
• ATR-Based Deviation Bands – Dynamic upper and lower bounds adjust to market volatility for trend confirmation. ⚖️
  
• Multi-Level Smoothing – Three levels of EMA smoothing on Gaussian-filtered data for layered analysis. 🎛️
  
• Color-Coded Trend Visualization – Dynamic bar colors and background fills for clear market state identification. 🎨
  
• Automated Alerts – Built-in Long/Short alerts for trade signal confirmation. 🔔
  

2. How It Works

A. Gaussian Filtered Price Calculation

• Applies a Gaussian smoothing function to price data for trend refinement.
  
• Weights price movements based on statistical deviation (sigma parameter) for precise trend estimation.
  
• Filters out short-term market noise to capture the core trend movement.
  

B. Volume-Weighted Gaussian EMA

• The filtered price is volume-weighted to prioritize significant moves.
  
• Uses adaptive exponential smoothing to enhance trend sensitivity.
  
• Ensures that high-volume price movements have more impact on the final output.
  

C. ATR-Based Deviation Bands

• Calculates an adaptive range based on ATR (Average True Range).
  
• Multiplier settings allow custom deviation tuning for different market conditions.
  
• The upper and lower bounds define zones for trend continuation or potential reversals.
  

D. Signal Generation

• Bullish Trend: When price is above the Gaussian EMA + ATR Upper Band. ✅
  
• Bearish Trend: When price is below the Gaussian EMA - ATR Lower Band. ❌
  
• Long Signal: Triggered when the trend shifts bullish.
  
• Short Signal: Triggered when the trend shifts bearish.
  

3. Visual Representation

A. Color-Coded Trend Signals

• Green Bars: Indicates a strong uptrend. 🟢
  
• Blue Bars: Indicates a confirmed downtrend. 🔴
  
• Gray Bars: Neutral or consolidation phase. ⚪
  

B. Multi-Level Gaussian EMA Smoothing

• EMA 1 (Medium-Term): Serves as the primary trend-following line.
  
• EMA 2 (Longer-Term): Acts as a higher timeframe confirmation.
  
• EMA 3 (Extended Smoothing): Provides an even more stable view of price action.
  

C. Background Fill Based on Trend Strength

• Stronger Trends: Brighter green/blue background.
  
• Weaker Trends: Lighter shades indicate reduced momentum.
  

4. Customization & Parameters

• Gaussian Smoothing Parameters: Adjust the sigma value to fine-tune the filter strength.
  
• Volume-Weighted EMA Length: Select how far back price movements are weighted by volume.
  
• ATR-Based Deviation Bands: Modify upper and lower multipliers for different volatility conditions.
  
• Color Modes: Choose from 8 predefined color schemes for improved visualization.
  

5. Backtest & Market Applications

Backtest Summary:
The GVWD Indicator has been tested across various assets, including:

• BTC/USD
  
• ETH/USD
  
• SOL/USD
  

📊 Key Observations:

• Smooth Trend Identification: Gaussian smoothing helps filter noise without excessive lag.
  
• Volume Sensitivity Enhances Responsiveness: Prioritizes high-volume trend confirmations.
  
• ATR Bands Help Define Entry & Exit Points: Useful for position management and risk control.
  

⚠️ Disclaimer: This indicator is designed to complement existing analysis techniques. Market conditions vary, and no tool can guarantee future performance. Always use proper risk management when trading.

6. Final Thoughts

• The GVWD Indicator is a hybrid Gaussian smoothing and volatility-based trend tool that combines multiple advanced statistical techniques for trend analysis.
  
• By removing noise and adapting to volume-based price movements, GVWD helps traders identify meaningful trend shifts.
  
• Designed for multi-timeframe analysis, it can be used across different market conditions.
  
• Important Reminder: No single indicator guarantees profitability. Always validate signals with additional market context. 📊
  

28 בפבר׳

הערות שחרור

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