Data Mining Team’s Proof of Value, February 2023
More indicators, more fun!
For February, the Data Mining Team can introduce four more indicators:
“Strength finder”, “Hawkeye volume”, “Volume flow” and “CJxOS Volume”.
Strength finder
The resulting output of this indicator shows the relative strength of the buyers vs the sellers. If a buyer’s value is above 50%, then buyers currently have the higher strength.
Hawkeye
The indicator’s output shows volume against the moving average, clearly showing volumes above the average amount.
Volume flow
The indicator’s output can be read in a similar way to the MACD, where values above zero indicate an uptrend and vice versa.
CJxOS Volume
Highlighting the most dominant volume by putting it on top, faded coloring means decreasing volume, non-faded means increasing volume. Also plotting the mean, mean high, mean low from a longer timeframe, along with the ‘force’ (sum of negative + positive volume, visualized by color of the mean — if positive -> green, if negative -> red).
Oversampled from a lower timeframe (1-min) plotted with candles representing that oversampling (in this case 4-hs) to visualize what happens within the candle over time.
“With the mindset of that Limit Orders only “block” price movement and Market Orders causes price to move — The Market Orders move that pushes price
through blocking Limit Orders is a sign of Sell Volume if pushed downwards, and Buy Volume if pushed upwards. The pullback after a push often requires less
volume/Market Orders since Limit Orders on the pushing side have not been placed yet. The counter argument is that Limit Orders that block price moves
should be the defining side since the Limit Orders are there to defend the specific price level. We will use Pi to define the spread of volume in this
calculation, where a wick above will carry more Buy Volume, a wick below will carry more Sell Volume, and the candle direction will represent the side that
gets the most volume. This way we measure the side on which the most Market Orders are placed in order to move price — Not the side
that has most volume restricting a price move.” — Carl J
