Range bars

Quote from FredBloggs:

...so whats the benefit?

surely the idea of bars is to compare and see changing circumstances and conditions.


eg if a 30min bar covers $4, and the next 30 min bar covers $6 i can see volatility is increasing.

if each bar covers $4, but takes different lengths of time to form, i will be unaware of that time (more than likely) when looking back making my comparison.......

i must be missing something here.....
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IMHO you are missing nothing. I'd say you have perfect clarity.
:p :D
 
Quote from just21:

Does anybody use range bars instead of normal time bars? What things should you watch for on range bar charts?
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I use both. I watch for the same thing
on both, TL's and simple horizontal S/R levels. As far as I'm concerned range bars are nothing revolutionary. There are just another way to chart prices. Like any other method they have their pros and cons. Some cons are you won't have NRB's, WRB's, inside bars or outside bars. Pros are you'll have a much less cluttered chart when volatility is low since new bars print only when there is price movement. I find them attractive for charting instruments like all sessions stock indexes and currencies. Where it's common that not much happens for hours at a time. I'm not much on using indicators myself but if you are it may be worth experimenting with constant range bars. Can't say as to whether it would make any particular indicator strategy profitable or not. But using constant range bars with many indicators would probably at least be an improvement.
 
Reduces the clutter during slow hours like lunch time etc.. However, sometimes clutter increases around data releases on a 24 hrs chart..

I have found constant volume charts produce the neatest charts and more reliable indicator reading..

Best.
 
Quote from BertH:

What are constant volume charts, if you don't mind answering? Thanks
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A method of charting price action that creates a new price bar after every X amount of volume has traded. Example, say you select the parameter of 1000 shares or contracts. At every 1000 shares or contracts traded a new price bar will start. The OHLC
of each bar represents the price action during the transaction of those 1000 shares or contracts. Regardless of how long it took
or how wide the bar range is and could represent anything from a single trade to 1000 trades.
 
Quote from TL Trader:

A method of charting price action that creates a new price bar after every X amount of volume has traded. Example, say you select the parameter of 1000 shares or contracts. At every 1000 shares or contracts traded a new price bar will start. The OHLC
of each bar represents the price action during the transaction of those 1000 shares or contracts. Regardless of how long it took
or how wide the bar range is and could represent anything from a single trade to 1000 trades.
More...

This is the best response I've ever seen from a MOD . . . congratulations on an "answer well done"!
 
Quote from TL Trader:

A method of charting price action that creates a new price bar after every X amount of volume has traded. Example, say you select the parameter of 1000 shares or contracts. At every 1000 shares or contracts traded a new price bar will start. The OHLC
of each bar represents the price action during the transaction of those 1000 shares or contracts. Regardless of how long it took
or how wide the bar range is and could represent anything from a single trade to 1000 trades.
More...

that would be more useful than the range bars.

still, seeing comparative volume & volatility over time is essential in my old school ways.
 
Quote from FredBloggs:

that would be more useful than the range bars.

still, seeing comparative volume & volatility over time is essential in my old school ways.
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Fred,

Once you start reading Volume Bars you will see that "Comparative Volume & Volatility" are easily discernible in them and even clearer than trying to interpret them from multiple sources.
 
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