Force is best described as net buying or net selling pressure. It is measured by weighting volume by the direction and magnitude of period price change. Hence higher volume or big positive price level changes will result in high net buying pressure, vice versa. The Relative Force Significant Support & Resistance indicator takes it a step further by denoting...
The indicator plots regular volume bars. The highlight is given by the current cumulative volume for the day, compared to a custom average (standard 20 periods). The stronger the color, the higher the relative volume is. Stocks moving of higher relative volume have higher chances of making predictable moves.
Read about it in the book of Buff Pelz Dormeier "Investing with Volume Analysis: Identify, Follow, and Profit from Trends" . Normalized volume ( %V ) is a concept that uses an average of volume to plot volume. The volume total for the current bar is divided by the average volume (over the last n bars) to form a ratio. This ratio is multiplied by 100 and...
Volume is important. Volume is VERY important. But all the existing methods of volume analysis and order flow analysis fall into the same trap: they're all extremely complicated, hard to learn, and difficult for the human brain to distill down to an actual, tradable signal. The Relative Volume Gradient Paintbars indicator seeks to address this issue by reducing...
I haven't seen many scripts directed around volume, so I figured I'd add this as a basic tool for people to use. This is simply just a relative volume oscillator, I also added two moving averages to it in case you wanted to use them or even possible set a fast and slow MA for crossovers. Enjoy!
Relative Volume, often times called RVOL, is an indicator that tells traders how current volume is compared to past trading volumes over a given period. It is kind of a like a radar for how “in-play” a stock is. The higher the relative volume is the more in play it is. Relative Volume is displayed as a ratio. So if it is showing 3.5 relative volume, that means it...