Trade Volume Index (TVI)

The Trade Volume Index (TVI) leverages intraday market data to show whether a security is being accumulated (purchased) or distributed (sold). The Trade Volume Index assumes that higher prices represent buy orders while lower prices are sell orders.

Configuration Options

• Min Tick Value: Minimum price movement required to include in the calculation.
• Field: Price or combination of prices to use as the base for average calculations. Possible values include:
  • Open
  • High
  • Low
  • Close
  • Adjusted Close
  • HL/2 $\left ( \frac{High + Low}{2} \right )$
  • HLC/3 $\left ( \frac{High + Low + Close}{3} \right )$
  • HLCC/4 $\left ( \frac{High + Low + Close + Close}{4} \right )$
  • OHLC/4 $\left ( \frac{Open + High + Low + Close}{4} \right )$
• Color Selectors: Colors to use for graph elements.
• Display Axis Label: Whether to display the most recent value on the Y axis.

Formula

$$EMA1 = EMA1_\text{n-1} + \left ((\frac{2}{(n + 1)}) * (P_n - EMA1_\text{n-1}) \right)$$

\(EMA2 = EMA2n-1 + ((2 / (n + 1)) * (EMA1n - EMA2n-1)))\

$$EMA2 = EMA2_\text{n-1} + \left ((\frac{2}{(n + 1)}) * (EMA1_n - EMA2_\text{n-1}) \right)$$

\(EMA3 = EMA3n-1 + ((2 / (n + 1)) * (EMA2n - EMA3n-1)))\

$$EMA3 = EMA3_\text{n-1} + \left ((\frac{2}{(n + 1)}) * (EMA2_n - EMA3_\text{n-1}) \right)$$

TRIX = (EMA3n - EMA3n-1 ) / EMA3n-1)\

$$TRIX = \frac{(EMA3_n - EMA3_\text{n-1})}{EMA3_\text{n-1}}$$

where:

• P_n =the current price.
• EMA1_n-1 = the exponential moving average value of n periods back
• EMA2_n-1 = the exponential moving average value of n periods back
• EMA3_n-1 = the exponential moving average value of n periods back