Some software I've trialled shows a ratio of the new volume added to the depth in the last x minutes (where x = 1-30 minutes). It's a reliable way to find turning points for fast moving spec stocks. Volume sitting in the depth which was added > x minutes ago is not counted.
One would query only the top 3 lines of depth (bid and ask), and sum how much new volume has been added on each side in the time frame chosen. Then represent that as a ratio.
eg. 5 min NewVol ratio = 2:1 would tend to be very bullish for the next 5 minutes of trading
15 min NewVol ratio = 1:2 would tend to be very bearish for the next 15 minutes of trading
Thanks for all your fantastic work. Best software ever!
[edit] - might even work better as an alert type. Similar to % move in last x minutes.
Question
MTG
Jerry,
Some software I've trialled shows a ratio of the new volume added to the depth in the last x minutes (where x = 1-30 minutes). It's a reliable way to find turning points for fast moving spec stocks. Volume sitting in the depth which was added > x minutes ago is not counted.
One would query only the top 3 lines of depth (bid and ask), and sum how much new volume has been added on each side in the time frame chosen. Then represent that as a ratio.
eg. 5 min NewVol ratio = 2:1 would tend to be very bullish for the next 5 minutes of trading
15 min NewVol ratio = 1:2 would tend to be very bearish for the next 15 minutes of trading
Thanks for all your fantastic work. Best software ever!
[edit] - might even work better as an alert type. Similar to % move in last x minutes.
Link to comment
Share on other sites
3 answers to this question
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.