Volume Gradient + Heikin Ashii Trend Indicator

[Anonymous 11]

GCB:

 

1. Am I correct in thinking this tool has elements of Market Delta within it?

 

2. Can you code it up for MetaStock (without TTM version)?

 

I think this could create a powerful way to view PRICE ACTION. Very nice. Just goes to show the quality of members on this forum.

[GCB 10]

GCB:

 

1. Am I correct in thinking this tool has elements of Market Delta within it?

 

2. Can you code it up for MetaStock (without TTM version)?

 

I think this could create a powerful way to view PRICE ACTION. Very nice. Just goes to show the quality of members on this forum.

 

1. Yes, in the sense that I only reflect up volume for up bars (close>open) and down volume for down bars(close<open) and I keep separate running moving averages of both up and down volume to compare bar to--up bars compare their up volume to the moving average of up volume to get their shading, and down bars compare their down volume to the moving average of down volume for their shading.

 

2. I don't know MetaStock but I'll include the TS EasyLanguage code below and if you can find someone to translate that would be fine. The TTM feature is optional.

 

Thanks very much for the compliment. I actually do use this now. I still keep a volume delta on the screen as well, for a detailed view of volume. But putting the volume right on the price bar as this does has really helped keep me focused on the volume aspect of what is going on.

 

If you look at the attached screen shot of Friday's action the breakdown with volume from the morning range at around 10:25 CT is clearly seen, as well as the the meager retracement from 10:32-40. I actually got short at 12396 and rode half down to 12315. I wish I could say I covered at 12315 but I didn't. But I still got a nice slice of the move.

 

Below is the TS EL code for the indicatre with comments.

 

 

{

$P-Trend Volume Bars -- Paint bar study shows trend and volume density on price bars.

 

Price = Calculation of price to be used to determine trend. e.g. Close, or, (High+Low+Close)/3)

PriceLength = Number of price bars to look back to determine trend.

VolLength = Number of volume bars to look back to determine volume trend.

ShowTrend = Paint the bars showing the trend. If false, up bars are green, down are red.

ShowVolume = Paint the bars show showing volume density. If false, all bars are the same density.

UpHR, etc, = RGB color codes.

This is a TradeStation hybrid of Volume Gradient and TTM Trend. It will create a chart with

two distinct ranges of colors. One color range, defaulted to green, indicates an uptrend--the other,

defaulted to red, indicates a downtrend. The relative darkness of each color reflects the amount

of volume in a particular bar relative to a previous sample average. The number of bars looked at to

determine the trend is determined by the input PriceLength, the number of bars for volume comparison,

VolLength.

 

Since PlotPaintBar takes RGB color numbers, to provide the full range of colors, the inputs to this

indicator allow a completely customizable red, green and blue setting for each end of each color range.

For example, UpHR = The uptrend, high volume red component, UpHG = the uptrend, high volume green component,

and so forth. DnLB = the downtrend, low volume blue component, and so forth.

You can use any typical Windows color selection dialog box to select colors and find out the Reg, Green, Blue

component numbers for the color.

I suggest using washed-out colors for the low volume colors and rich colors in the same basic color for the

high volume colors. For example, faded pink to deep red. But of course you can do whatever makes sense to

you and looks good to your eye. But be aware, I've discovered that for the colors to show consistent density

they must parallel each other. This is hard to explain, but if you look at the settings below you can see

what I mean.

UpHR(0),

UpHG(135),

UpHB(0),

UpLR(205),

UpLG(255),

UpLB(205),

DnHR(135),

DnHG(0),

DnHB(0),

DnLR(255),

DnLG(205),

DnLB(205);

Note that the algorithm used for determining trend is not exactly the same as TTM trend, but the results are

pretty much the same.)

}

 

inputs:

Price((High+Low+Close)/3),

PriceLength (18),

VolLength(30),

ShowTrend(true),

ShowVolume(true),

UpHR(0),

UpHG(135),

UpHB(0),

UpLR(205),

UpLG(255),

UpLB(205),

DnHR(135),

DnHG(0),

DnHB(0),

DnLR(255),

DnLG(205),

DnLB(205);

 

variables:

MA(0), HighColor(0), LowColor(0), Color(0), UpVol(0), DownVol(0), TotVol(0);

 

MA = XAverage (Price, PriceLength);

 

if BarType >= 2 then { ie, not tick/minute data }

begin

UpVol = Volume;

DownVol = Volume;

end

else { if tick/minute data }

begin

UpVol = UpTicks;

DownVol = DownTicks ;

end;

 

TotVol = UpVol + DownVol;

 

if ShowTrend then

begin

if MA > MA[1] then

begin

HighColor = RGB(UpHR, UpHG, UpHB);

LowColor = RGB(UpLR, UpLG, UpLB);

end

else

begin

HighColor = RGB(DnHR, DnHG, DnHB);

LowColor = RGB(DnLR, DnLG, DnLB);

end;

end

else

begin

if Close > Open then

begin

HighColor = RGB(UpHR, UpHG, UpHB);

LowColor = RGB(UpLR, UpLG, UpLB);

end

else

begin

HighColor = RGB(DnHR, DnHG, DnHB);

LowColor = RGB(DnLR, DnLG, DnLB);

end;

end;

 

if ShowVolume then

begin

if High > Low then

Color = NormGradientColor(UpVol, false, VolLength, HighColor, LowColor)

else

if High < Low then

Color = NormGradientColor(DownVol, false, VolLength, HighColor, LowColor)

else

Color = NormGradientColor(TotVol, false, VolLength, HighColor, LowColor);

end

else

Color = HighColor;

 

PlotPaintBar(High, Low, Open, Close, "MATrendUp", Color);

[keymoo 10]

For people that are having issues with the candlesticks getting painted, I trawled through all the options in tradestation and managed to solve the problem. It's a setting.

 

On the view menu select 'Chart analysis preferences...'

 

Then select the General Tab. On the general tab ensure that 'When a study paints a candlestick bar, paint the body and wick' is checked.