Volume can be a very useful tool if used correctly. Relative volume is designed to filter out the noise and highlight anomalies assisting traders in tracking institutional movements. This tool can be used to identify stop loss hunters and organized dumps. It uses a variety of moving averages to hide usual activity and features an LSMA line to show trend. Trend columns are shown to highlight activity and can be seen at bottom of the volume columns, this is done using ZLSMA and LSMA. The above chart shows an example of 2 indicators being used on the 15 min chart. The bottom indicator is set to the 1 min chart. Traders can see a large dump on the 1 min chart as institutions wipe out any tight stop losses. Next they buy back in scooping up all those long positions. This is an example layout using a split screen setup and multiple timeframes ranging from 1 min to 30 mins. This gives a clear indication of trends and make it easy to pickup on institutional behaviour. Tip: Double clicking indicator background will maximize RVOL to the split screen window.
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Added signals and alerts -Signal for entry point -Alert for when volume crosses defined amount. -Alert for entry point
Entry point signals pick up great on the 1 second to 1 min charts.
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Fixed entry signal and added price line
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Added current bar volume. Can be turned off in settings.
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Fixed problem with current bar volume number
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Fixed rounding issue.
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Ticker ID can now be turned on in settings for split screen setups.
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Added option to display average volume. Previously this indicator just filtered out the noise. Now it also highlights anomalies. This extra plot gives traders many different options to present the data. Here are some examples: By changing the style options for the volume columns traders can switch between column, histogram or step line. Removing the blue moving averages can clean the indicator or even remove everything but the anomalies. Adjusting transparency can also help hide the volume columns to give a more traditional look as seen in the 3rd example on top indicator. These anomaly columns are big movements in volume and tend to dictate the short term trend of price action.
Love this indicator but is there any more information on the trend bars and how to use them?
veryfid
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@SpinTrades, Hi, thanks for the coins. The trend bars are the difference between ZLSMA and LSMA lines. These columns highlight large momentums in volume which usually happen at the beginning of a trend/pivot or breakout. In the screenshot I have everything turned off except for trend columns, sma (blue) and lsma (white). Using these 2 lines and the trend columns traders can find key moments to enter and exit trades based on rapid increases in volume. Also checkout my Volume Pressure Analysis indicator. Good luck!
@SYKZ01R, Hi sorry Ive been really busy lately and didn't get a chance to get back to you. Relative volume is all about finding anomalies. For example if everyday there is a volume of $1 million and then one day there is $70 million it usually reflects in price action. Traders can use this to jump in with the pump or dump.
If you see big red candles sticking out like this do not enter a long. When I see huge red volume candles I will enter a short with the institutions. Then when I see them buying back in at bottom I enter a long with them.
@veryfid, Super thanks. This volume in $ where do you find daily volume from coinmarketcap or how can i see the daily current volume? and compare that volume of that day to other days? Or do i get you wrong. And when you see them buying back you mean the green candle after the big red one? Or what does give you confirmation to enter? :D