Trade Ideas: Support Forum

[cwb1014]

I Appreciate Your Response, But Still Unclear...

I think the confusion may revolve around this specific language at http://www.trade-ideas.com/Help.html#alert_filter_NRBB5:

Volume5 compares the volume over the last 5 minutes to the volume expected in a 5 minute period.

So from your answer, I'm guessing that "the volume expected in a 5 minute period" is determined without respect to the time of day in which the 5 minute period occurs, and is assumed to be identical for every 5 minute period of the day. Is this correct?

If not, and TI does consider the time of day in determining the volume expected in a 5 minute period, then why would one need to adjust Volume5 during the pre and post markets, as TI would have already compensated for the lower volume in these markets by adjusting downward the volume expected in a 5 minute period at these times?

Please let me know about this as soon as you have a chance.

Btw, I'm not trying to be contentious here, but merely trying to figure out how this filter actually works. If TI does not adjust the expected 5 minute volume for the time of day, then one needs to be much more careful in their use of this filter, regularly adjusting it throughout the trading day so that it captures comparable events.

As an example, if one sets the filter for 4 and TI treats the volume expected for every 5 minute period as being identical—which means that it is simply using average 5 minute volume (total daily volume / # of 5 minute periods per day) to determine expected volume—then from 9:30 to 11:30, when actual volume is much higher than average, the 4 filter is a much more likely to be met than it is from 11:30 to 1:30, when actual volume is much lower than average. Thus, 4 would be capturing a much less unusual event in the earlier period than in the later one.

Look forward to hearing from you and thanks in advance...