This is not a smoothing function. This specifically regarding the completed traded volume at each price point/range.
On a typical time based chart each bar consists of the range in price that happened during the construction of that particular time increment. If it is a 5 minute bar then the bar depicts the range in price over that 5 minute period.
If that 5 minute period is on a ES chart at 4 am EST, typically the bar range will be small and the volume of completed trades in that bar will be very small. If that 5 minute bar period is immediately following the Fed Report, typically the bar range will be great and the volume of completed trades in that bar will be very large. This clearly shows that time based charting bars can and do vary vastly basted on the weight of the completed trades in that bar. This difference in weight effects the consistency of the outcomes of all methods applied on them because of the difference of the completed trade volume weight of each bar.
Tic Charts are the same as time charts because a single tic can consist of 1 transaction of 1 contract or share traded or 1 transaction of 200 contracts or shares traded. This inconsistency in completed trade volume weight greatly effects the consistency of systems or methods.
Range or equi-volume bars are again the same, inconsistent based on completed trade volume weight.
A constant volume bar chart is a chart where each bar is exactly the same completed trade volume weight. That could be a 50 constant volume bar chart where each bar shows the range in price of the last previous 50 contracts or shares traded, a 10,000 constant volume bar chart where each bar shows the range in price of the last previous 10,000 contracts or shares traded or any increment you personally want to create. The smaller the number of contracts or share per bar, the faster the chart. The larger the number of contracts or share per bar, the slower the chart.
Look at the chart I posted for Crude Oil. You said yourself it was "easy on the eyes" to read. If a chart is easy to read then one can teach themselves to take advantage of the information it provides on a consistent basis.
