Intraday Intensity Modes for Measuring Buying and Selling Pressure

Summary

This indicator adapts the Intraday Intensity Index, associated with David Bostian and later discussed by John Bollinger, to show buying or selling pressure relative to price range and volume. Its individual mode calculates intensity for a session; cumulative mode adds readings over time; and normalized mode expresses a rolling intensity sum relative to volume. The script tracks the day’s developing high, low, and volume on intraday charts, while higher chart intervals measure intensity over their own periods.

The description proposes using normalized readings alongside Bollinger Bands or similar envelopes for possible confirmation of strength or weakness, and using cumulative readings to watch for trend convergence or divergence. It also provides an experimental intrabar option that calculates each bar independently instead of using the session’s developing range and volume. The author presents the script as a research example, not a trading strategy. Its usefulness depends on reliable volume data, and the document offers illustrative use cases rather than performance results or evidence that signals predict turning points.

Key ideas

• Intraday Intensity relates the close’s position within a price range to traded volume.
• Individual, cumulative, and normalized settings produce distinct views of intensity.
• The normalized mode compares rolling intensity with volume over the same window.
• Cumulative readings may help examine trend convergence or divergence alongside price.
• Intrabar calculations are described as experimental, and volume must be available.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.