VWAP and Relative Volume Filters for Short-Term Breakout Scalping

Summary

This partial Pine Script describes a short-term stock scalping strategy with a defined trading window and optional session bypass. The visible calculations combine VWAP, fast and slow exponential moving averages, ATR, RSI, relative volume, and prior-bar breakout levels. Relative volume compares current volume with an average shifted back one bar, while breakout highs and lows are taken from a prior lookback period. A higher-timeframe EMA comparison supplies bullish or bearish bias, and candle body size and close location estimate buying or selling pressure.

The script also exposes inputs for a score threshold, short selling, ATR-based stops, a reward multiple, a maximum holding period, and risk per trade. However, the document ends before the full scoring rules, entry and exit logic, or any results are shown. The available material therefore explains the indicator and filter framework, but is insufficient to assess how trades are triggered or whether the approach performs well. Scalping outcomes would also depend on execution costs and slippage.

Key ideas

• The visible framework combines VWAP, moving averages, relative volume, ATR, RSI, and prior breakout levels.
• Relative volume uses an average shifted back one bar to avoid including current volume in its baseline.
• A higher-timeframe EMA comparison is used to estimate directional bias.
• Candle range, body size, and close location are used to assess short-term price pressure.
• The source is truncated before its complete scoring, trade rules, and performance evidence.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.