Volume Pace vs Relative Volume

by Crunching_The_Market about 1 month ago

Seems the volume change is pretty important on finding those runners and I understand how to get relative volume but how do you calculate volume pace? If that is proprietary to your platform no worries. But trying to understand how to calculate your volume pace so I can apply it in other platforms.

TraderMike about 1 month ago

It's based on the 50-day average daily volume.  The steps are:

  1. Figure the typical (average) volume per minute (vol_typical)
  2. Calculate the current day's average volume per minute (vol_current)
  3. divide vol_current by vol_typical
The system doesn't process the volume pace alerts until after the first 30 minutes of trading to try to let the morning rush of volume dissipate a bit.

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