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stelaraX - Relative Volume

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stelaraX – Relative Volume

stelaraX – Relative Volume is a volume-normalization indicator designed to show how strong the current bar’s activity is compared to its recent historical average. Instead of looking at raw volume, it measures relative participation, making it easier to detect unusual activity, breakouts with confirmation, and low-liquidity traps.

This tool is part of the stelaraX ecosystem, built for structured, rule-based decision making and AI-supported chart evaluation.
stelarax.com

Core logic

The indicator compares current volume to a moving average of volume:

* avgVol = SMA(volume, len)
* rvol = current volume / avgVol

Interpretation:

* rvol = 1.0 → volume equals average
* rvol > 1.0 → above-average participation
* rvol < 1.0 → below-average participation

Threshold logic:

* High volume → rvol ≥ highMult
* Low volume → rvol ≤ lowMult

This creates a clean regime classification between expansion, contraction, and normal activity.

Color logic

The histogram is dynamically colored:

* High volume + bullish candle → strong green
* High volume + bearish candle → strong red
* Low volume → muted gray
* Normal volume → softer green/red depending on candle direction

This allows immediate visual recognition of whether participation supports or contradicts price movement.

Visualization

The script plots:

* RVOL histogram (column style)
* 1.0 reference line (average volume)
* upper threshold line (high volume)
* lower threshold line (low volume)

Alert:

* “Hohes RVOL” when relative volume exceeds the defined high threshold

Strategic use cases


1. Breakout confirmation
Trade breakouts only when rvol ≥ 1.5–2.0 to avoid weak fake moves.

2. Liquidity filter
Avoid entries when rvol ≤ 0.5 in intraday markets — low participation often leads to whipsaws.

3. Trend continuation
Strong trend legs often show repeated high RVOL bars in the direction of the move.

4. Reversal detection
A large opposing candle with extreme RVOL can signal absorption or distribution.

5. Confluence with your stelaraX tools
Combine with:

* Opening Range Breakout
* Liquidity Zones
* Supertrend VWAP Confluence
* Order Blocks

This creates a volume-validated structure model instead of trading pure price.

Best parameter practices


Intraday (M1–M15):

* len = 20
* highMult = 1.5–2.0

Swing / Higher TF:

* len = 20–50
* highMult = 1.3–1.8

Crypto markets may require slightly higher thresholds due to structural volatility in participation.

Disclaimer

This indicator is provided for educational and technical analysis purposes only. It does not constitute financial advice. All trading decisions and risk management remain the responsibility of the user.

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