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Unlocking Better Volume: Your Go-To Indicator for MetaTrader 5

Mike • 2025-04-17 17:44
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Main Features

  1. Dynamic Volume Categorization:

    • The indicator sorts volume into various categories, using distinct colors for easy visual interpretation:
      • Buying Climax (clrCrimson): Highlights periods of exceptionally high volume with a price increase.
      • Selling Climax (clrLimeGreen): Indicates strong selling pressure accompanied by high volume.
      • Churn (clrGold): Captures high volatility without a clear price trend.
      • Climax Churn (clrMagenta): Merges buy/sell climaxes with churn, showcasing extreme volatility.
      • Weak Candle (clrDarkTurquoise): Identifies candles with low volume in the lookback period.
      • Volume Balance (clrWhiteSmoke): Represents standard volume without any special characteristics, serving as a "base color" when no other patterns are present.

  2. Moving Average Volume:

    • A smoothed moving average line (clrMaroon) helps you spot volume trends over time.

  3. Advanced Customization:

    • Moving Average Period: Tailor the moving average period to fit your trading style.
    • Lookback Window: Adjust the lookback window to compare current volume with recent values.
    • Volume Type: Choose between real volume (VOLUME_REAL) or tick volume (VOLUME_TICK) based on the asset's characteristics.

  4. Clear Visual Interface:

    • A colored histogram (DRAW_COLOR_HISTOGRAM) displays volume categories intuitively for quick analysis.

  5. Flexibility for Different Timeframes:

    • This indicator works seamlessly across any timeframe, whether you're trading intraday or looking at weekly/monthly charts.

How to Interpret the Signals

  • Buy/Sell Climax: Marks strong accumulation or distribution moments, hinting at potential trend reversals or continuations.
  • Churn: Reflects high volatility without a clear direction, indicating market uncertainty.
  • Weak Candles: Represents low market activity, often seen during consolidations or indecision periods.
  • Volume Balance: Shows normal market behavior, providing insights into stability without significant anomalies.

Configuration and Use

Better Volume is straightforward to set up and use:

  1. Add the indicator to your chart in MetaTrader 5.
  2. Adjust the parameters as needed:
    • Moving Average Period: Controls the smoothness of the moving average line.
    • Lookback Window: Sets the number of candles for comparison.
    • Volume Type: Select between real volume or tick volume.
  3. Keep an eye on the signals from the histogram and moving average line to make informed trading decisions.

Why Use Better Volume?

  • Volume Flow Analysis: Gain insights into market participants' behavior based on volume trends.
  • Pattern Identification: Spot buy/sell climaxes, churn, and other critical patterns that can guide your trading choices.
  • Ease of Use: The intuitive visual interface and customization options make this indicator accessible for both beginners and seasoned traders.

Application Example

  • Utilize the indicator to confirm entry and exit signals within volume-based strategies.


For more details, check out this chart example.

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