Reading FINRA Daily Short Sale Volume with an Average Benchmark
Summary
This indicator displays FINRA-reported daily short-sale volume for supported US-listed stocks, alongside a moving average whose length is configurable. Bars use a stronger red shade when short-sale volume exceeds that average. On intraday charts, the requested data remains daily; on end-of-day charts, it follows the chart timeframe. Users may request data for another symbol, subject to supported exchange prefixes and data availability.
The description distinguishes short-sale volume, a measure of reported transactions, from short interest, which measures open short positions. Short-sale volume can include trades that offset other activity and is not consolidated with exchange data; it excludes activity that is not publicly disseminated. As a result, the indicator should be read as a partial measure of reported trading, not as a direct tally of open bearish positions or a standalone directional signal. It presents no trading rules or evidence that above-average readings predict future returns.
Key ideas
- The indicator plots daily FINRA short-sale volume and a configurable moving average for supported US stock symbols.
- Bars are shown more prominently when reported short-sale volume is above its average.
- Short-sale volume counts reported transactions, whereas short interest describes open short positions.
- The data is not consolidated with exchange activity and excludes trades that are not publicly disseminated.
- The indicator describes volume but provides no predictive method or performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.