The purpose of the tool is to provide a quick and visual display of the trade flow imbalance. In other words, it gives an easy to see monitor sho
Delta calculation windows based on seconds, number of trades or number of bars
Supports multiple lookback periods in a single widget
Displays buying volume and selling volume as meters
Displays buying vs. selling pressure as ratio or delta
Widget is resizable and can be on chart or detachable as a separate window
Supports visual settings to control colors, line widths, font size and show/hide
Buying - buyers, buying, buying pressure all refer to trades executed at the ask. In Sierra Chart this is AskVolume
Selling - sellers, selling, selling pressure all refer to trades executed at the bid. In Sierra Chart this is BidVolume
Delta - represents the amount of buying vs. the amount of selling in the market that is happening in the market. The meaure is taken over some time period.
Balance, imbalance and dominance - delta is a measure of the dominance between the buyers and sellers. In a perfectly balanced market, delta will be 0. It basically means that neither the buyers or sellers are in control. When delta grows either way it gives an indication of imbalance.
Setting the Gauge Lookback Periods
The study supports multiple lookback periods in a single widget.
The study includes a setting “Gauge List” where you can enter a comma separated list of lookback periods.
Supports up to 5 values which gives up to 5 gauges in one window.
You can define the lookback in seconds, number of trades or the number of bars.
Seconds - for example 60s would give the buying volume, selling volume and delta within the last 60 seconds
Trades - for example 60t would give the buying volume, selling volume and delta within the last 60 trades
Bars - for example 3b would give the buying volume, selling volume and delta within the last 3 bars. The bar count starts from the current live bar. So a value of 3 means the current bar and two bars back