AZ ATR indicator with volume correlation bonus

AZ ATR indicator with volume correlation bonus

What do the values ​​mean:

? Positive correlation (0.3 - 1.0):

▲ 0.3-0.7 - moderate connection

▲▲▲ 0.7-1.0 - strong connection

It means: Price growth is accompanied by volume growth = the movement is confirmed by market participants. This is a healthy trend with conviction.

? Negative correlation (-0.3 to -1.0):

▼ -0.3 to -0.7 - moderate feedback

▼▼▼ -0.7 to -1.0 - strong feedback

It means: The price rises, but the volume falls (or vice versa) = movement without confirmation. Reversal or attenuation of the trend is possible.

⚪ Neutral (-0.3 to 0.3):

▬ - weak or no connection

It means: The volume is not connected with the price movement = uncertainty, consolidation or random movement.

Practical application:

H4: ▲▲▲ 0.85 + D1: ▲ 0.45 = strong confirmation of the trend on several timeframes → confidently enters

H4: ▼▼▼ -0.80 = movement without volume → caution, possible trap

All ▬ = flat, better to wait

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