Customizing the "Highlight Location" action? (color and location from the mouse)

Is it possible to change somehow the color of the highlighting (and possibly thickness)?

Is it possible to determine the location based on the cursor location?

OK I figured this out. I just have to add or subtract from MOUSEX() and MOUSEY(). Works like a charm.

I still can’t figure out how to change the color

No, there is no control over the color.

Do you know how "Highlight location" works? Is there an applescript function that can produce similar "transparent prompts / overlays"?

Highlight Location works by displaying a custom window with mostly transparent area, and drawing in to that.

No, I do not know of any way to do that within AppleScript.

@appleianer mentioned using a floating HTML action in BTT that looks like it does something along those lines at: