Technical Studies Reference

Volume-Down

This study calculates and displays the volume of the Down Bars in a chart.

Let $$O_t$$, $$C_t$$, and $$V_t$$ be the Open Price, Close Price, and Volume, respectively, at Index $$t$$. The Volume-Down at Index $$t$$ is denoted as $$V^{(D)}_t$$. The method of computation of Volume-Down depends on the setting of the Input Compare Close With.

If Compare Close With is set to PrevClose, then a Down Bar is a bar for which $$C_t < C_{t - 1}$$. $$V^{(D)}_t$$ is then computed as follows.

$$\displaystyle{V^{(D)}_t = \left\{ \begin{matrix} V_t & C_t < C_{t - 1} \\ 0 & C_t \geq C_{t - 1} \end{matrix}\right .}$$

If Compare Close With is set to Open, then a Down Bar is a bar for which $$C_t < O_t$$. $$V^{(D)}_t$$ is then computed as follows.

$$\displaystyle{V^{(D)}_t = \left\{ \begin{matrix} V_t & C_t < O_t \\ 0 & C_t \geq O_t \end{matrix}\right .}$$

Inputs

• Compare Close With: This Input sets the value for the Close of a bar to be compared with. If you want the Close compared to the Previous Bar's Close, enter 0. If you want it compared to the Current Bar's Open, enter 1.