Balanced Volume Oscillator for MetaTrader 5 — Free Download by TFlab

The Balanced Volume Oscillator (BVO) is a technical indicator designed for MetaTrader 5, developed by TFlab. It serves as a robust tool for analyzing trading volumes by evaluating volume changes relative to the periodic average and Fibonacci levels.

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💎free indicator download:
https://cdn.tradingfinder.com/file/183147/balanced-volume-oscillator-mt5-by-tflab.zip

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Utilizing color-coded histograms, BVO provides traders with a clear visualization of market volume flow, aiding in the identification of divergences and potential reversal zones (PRZ).

Indicator Specifications

Indicator Overview

BVO’s histogram bars display current trading volume relative to the average periodic volume. Each bar is color-coded to represent specific volume changes compared to the periodic average and Fibonacci levels

• Red: Volume below the periodic average
• Green: Volume above the 38.2% Fibonacci level
• Yellow: Volume between 38.2% and 61.8% Fibonacci levels
• Purple: Volume between 61.8% and 100% Fibonacci levels
• Blue: Volume above the 100% Fibonacci level.

Application in Market Trends

Uptrend Scenario

In the GBP/USD currency pair chart, red bars in the BVO histogram indicate significant trading volume. Traders may consider initiating a Buy position upon observing increased trading volume (purple and blue bars) and confirming signals such as bullish candlestick formations near key support levels.

Downtrend Scenario

Analyzing the AUD/USD currency pair on a 15-minute timeframe, the price reaches a new high, and the histogram bars transition to yellow and purple. This shift suggests an increase in market volume, signaling the formation of a bearish divergence and a heightened likelihood of a trend reversal. Traders should await confirmations, such as reversal candlestick formations or price breaking through resistance levels, before entering a trade.

Indicator Settings

The BVO indicator offers customizable settings to enhance user experience:

• Period for Volume Calculation: Defines the number of periods for volume calculation.
• Theme: Enables automatic theme adjustment for display.
• Color Settings:
• Red: Displays negative volume.
• Green: Displays volume between 0 and 38.2%.
• Yellow: Displays volume between 38.2% and 61.8%.
• Purple: Displays volume between 61.8% and 100%.
• Aqua: Displays volume above 100%.

Conclusion

The Balanced Volume Oscillator for MetaTrader 5 is an intuitive and powerful indicator that leverages Fibonacci logic to enhance volume analysis. Its visual system enables traders to spot trend continuation or divergence signals with ease, especially on lower timeframes like 15 minutes.

For optimal results, it is recommended to use the BVO alongside tools such as the Auto Fibo indicator, aiding in the validation of support and resistance areas and volume confirmation for trades.

FAQS

💎What is the Balanced Volume Oscillator (BVO)?
It’s a volume-based indicator that uses Fibonacci levels to visualize trading volume strength.

💎 What platform is BVO compatible with?
MetaTrader 5 (MT5).

💎Is it beginner-friendly?
It’s best for intermediate traders with some technical analysis knowledge.

💎 Is the BVO indicator free?
Yes, it is available for free download from TFlab.