XVolume: Coloring Volume Bars Relative to Their Average

Summary

XVolume displays chart volume as a histogram and compares it with an average level. Bars above that level are colored bright green, while bars below it are gray; red lines show the volume averages. The description presents this as a visual way to distinguish relatively elevated activity from quieter trading periods.

The document gives no details about the averaging formula, lookback period, signal rules, or tests of predictive value. It is therefore best understood as a basic volume visualization rather than a complete trading strategy. The implementation depends on external SmoothAlgorithms library classes for MetaTrader 5, but the substantive idea is simply to interpret current volume against its average. Elevated volume alone does not establish whether buying or selling is dominant, nor does the document connect the colors to entry or exit decisions.

Key ideas

• The histogram shows traded volume alongside red average lines.
• Volume above its average is colored bright green, while lower volume is gray.
• The indicator visualizes relative activity but does not define trading signals.
• Its implementation relies on external smoothing library classes for MetaTrader 5.

Tags

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