🟪Split Volume
Last updated
Last updated
Traditional volume tools only show you the data for the candle that won. This leaves traders in the dark to the real buying and selling of the whales. Often a candle closing is a photo finish between the bulls vs bears and other times it is a one sided fight. The Rainbow Trend Split Volume Indicator gives our traders the advantage to be able to see both sides of the book in real-time and it also identifies which candles have been flagged as anomalies from the rest of the adjacent volume bars. This indicator takes the guess work out of when large market makers are entering or exiting a position and puts you ahead.
For those who prefer video tutorials, this breaks down every single aspect of the RT-Split Volume Indicator:
While Volume is one of the most important signals a trader should watch, traditional Volume indicators only show you the one side that won that candle. Only looking at one side of the story puts the Trader at a disadvantage. Sometimes the battle between the Bears vs Bulls is a photo finish and sometimes its hardly a battle. The Split Volume Indicator allows you to get a better picture of what is actually happening in the order books.
The Split Volume Indicator uses an algorithm to estimate the Buy and Sale volume for each candle. All of the Buy Volume is placed on the upper half of the Indicator while all of the Sale volume is placed on the lower half of the Indicator. As the Bulls and Bears fight back and forth for each candle, the indicator's algorithm calculates a baseline average of the volume that is being traded. This average baseline is shown by the gray Ghost Line. Abnormal spikes of volume that exceed the Ghost Line are color coded with either Blue (Bullish) or Yellow (bearish) candles.
Green Volume Candles - Normal buying volume.
Blue Volume Candles - Abnormal buying volume.
Red Volume Candles - Normal selling volume.
Yellow Volume Candles - Abnormal selling volume.
One key item to look fore with Split Volume is Volume Impulses. These are sometimes overlooked with standard Volume Indicators, but are heavily highlighted when using Split Volume.
Volume in USD Toggle On/Off - Allows the trader to switch between volume being displayed in USD or in number of stocks/tokens being bought/sold. This change will be noticed on the Y-Axis of the Indicator.
Volume Smoother - Changes the smoothness setting of the Ghost Line. This allows the Trader to level out the Ghost Line as they see fit.
Volume Displacement Shifter - Changes the vertical height of the Ghost Line. This allows the trader to buffer when they would like to see the Cyan/Yellow Volume Candles to trigger.
If you are still having issues or have questions, please feel free to reach out to us at admin@rainbow-trends.com or message us in the Rainbow Trends Discord.
