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Volume Rate of Change as a Measure of Trading Activity Acceleration

Article MQL5 code base
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Summary

This short description introduces the Volume Rate of Change (VROC), an indicator that measures how quickly trading volume changes. It links sudden increases in volume with important chart events such as tops, bottoms, and breakouts, suggesting that volume acceleration can help traders notice activity accompanying potential market transitions.

The document offers a brief conceptual explanation rather than a calculation procedure, trading rule, or empirical study. It gives no evidence about predictive accuracy, suitable lookback periods, or how VROC should be combined with price signals. The indicator is attributed to an implementation published in MetaQuotes’ MQL4 CodeBase, but implementation history does not establish trading effectiveness. Readers would need to define the calculation and test its usefulness in the markets and timeframes they trade.

Key ideas

  • VROC describes the speed at which trading volume changes.
  • A sharp rise in volume can accompany chart events such as breakouts, tops, or bottoms.
  • The note provides no formula, parameter guidance, or trading rules for the indicator.
  • The cited implementation history does not provide evidence of predictive performance.

Tags

Technical indicatorsMarket microstructureBreakout

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