Using Time and Volume Points of Control to Read Bar-Level Trading Activity
Summary
This indicator estimates two points of control for each chart bar from lower-timeframe observations. Its time point of control (TPOC) is the price block with the most observations after the bar’s range is divided into ten sections. Its volume point of control (VPOC) is the lower-timeframe price associated with the largest volume observation. Optional delta coloring separates buying and selling pressure using whether the selected price source rose or fell from the prior observation.
The script also flags potential trapped time or volume when a point of control lies beyond the previous bar’s range or sufficiently far from the close, and marks possible trend initiation when TPOC and VPOC are separated. Thresholds highlight bars where a single block or observation accounts for a chosen share of the total. These are heuristic readings, not validated trade signals: the estimates depend on lower-timeframe data availability, price-source choice, and coarse range bins. The document provides implementation details and alerts but no performance results.
Key ideas
- TPOC is estimated by counting lower-timeframe price observations across ten equal sections of a bar’s range.
- VPOC is assigned to the lower-timeframe price observation with the greatest volume.
- Delta modes infer buy or sell direction from whether the selected price source rose or fell between observations.
- Trapped-point and trend-initiation markers use bar geometry and point-of-control separation as heuristics.
- Lower-timeframe selection trades historical coverage and loading speed against measurement precision.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.