Volatility-Normalized Candle Cycloids and Intrabar Volume Dashboard
Summary
This indicator proposes representing candle geometry in coordinates scaled by estimated volatility, so price movement and bar time can be compared on a normalized basis. It uses a rolling volatility estimate and logarithmic price transformation, then treats selected large-range candles as rolling circles. Parametric cycloid curves are drawn for the full candle range and for upper and lower wick portions, with reference levels that can be used to locate nearby support and resistance. The script also describes selecting prominent candles through predecessor comparisons and optionally adding the largest candle from a configurable lookback period.
A separate volume display can estimate buying and selling volume either by allocating bar volume geometrically from OHLC data or by using lower-timeframe decomposition. The dashboard exposes volume totals, delta, and engine validity details. These are visualization and measurement constructs, not a stated trading signal or empirical finding. The theoretical framing relies on diffusion-style scaling assumptions, and the supplied extract is truncated; it gives no validation showing that the geometric levels predict prices or improve trading decisions.
Key ideas
- Log-price coordinates scaled by estimated volatility are used to normalize chart geometry.
- Large-range candles are modeled as rolling circles whose points trace cycloid curves.
- Separate curves represent the full candle range and its upper and lower wick ranges.
- Reference levels from the curves are presented as possible support and resistance context.
- Volume is estimated through either OHLC-based allocation or lower-timeframe decomposition, without predictive evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.