How the RVOL Indicator Informs Breakout Strategies & Helps Avoid False Breakouts

When trading using a systematic or algorithmic approach, it is often challenging to know if a breakout will succeed or fail. The RVOL Relative Volume indicator can provide valuable insights to help you turn the probabilities of making good decisions more in your favor, and help identify false breakouts. This is because RVOL can be used as an indicator of trader commitment to each price move and thus provide valuable clues.
Brought to you by Darwinex: UK FCA Regulated Broker, Asset Manager & Trader Exchange where Traders can legally attract Investor Capital and charge Performance Fees:
www.darwinex.com/?...
MQL5 Source code for the RVOL Indicator is available at:
github.com/darwinex/advanced-...
#RVOLIndicator, #BreakoutStrategy, #RelativeVolume, #FalseBreakout, #RVOL, #RelativeVolumeIndicator, #TradingIndicators, #TradingSystems, #TradingStrategies, #AlgoTrading, #TradingRange, #AlgorithmicTrading, #SystematicTrading, #VolumeIndicator, #TickVolume, #RealVolume, #Darwinex
This is Episode 68 in the Darwinex 'Algo Trading for a Living' Playlist, and Episode 8 of the new 'Volume Data' mini-series.
Video Contents:
00:00 Introduction
00:40 Assessing Relative Volume
01:26 Using RVOL - an example using EURUSD
01:55 Pullback or Reversal?
05:38 Clues to a Trading Ranges Developing using Volume
06:55 Successful Breakout or False Breakout?
09:52 Idealised example of using RVOL
10:27 Next Episode: Volume Spikes, Trend Exhaustion, Below Average Volume
10:44 Summary and Conclusions
Content Disclaimer: Past performance is not a reliable indicator of future results. The contents of this video (and all other videos by the presenter) are for educational purposes only and are not to be construed as financial and/or investment advice.
Risk disclosure:
www.darwinex.com/legal/risk-d...

[@bryanaldridge9560]

For those seeking code I suspect you need to get the formula and then code it yourself. Martyn gets many of his ideas from "Trading Systems & Methods" by Kaufman

[@Darwinexchange]

Thank you Bryan and everyone for your interest! The MQL5 version of the RVOL Indicator Martyn refers to in these tutorials can be found here: github.com/darwinex/advanced-mql-programming/blob/master/RVOL-Indicator/RVOL.mq5 All the best, The Darwinex Team

[@fathimabv7467]

Can somebody code this exact indicator to pine script language for tradingview please? There are some but not exactly like this one.

[@jordiros5723]

Very helpful straightforward explanation without all the nonsense typical of these videos. Thank you.

[@ivanlim3728]

I just binged through both your playlists (Algo Trading for a Living, and the Backtest and Optimization playlist) over the last two days. I just wanted to say THANK YOU SO MUCH for such valuable, high quality content. No nonsense or fluff. Just pure knowledge and systematic, logical thinking presented in a clear and easy to understand manner. I plan to try Darwinex once I'm done with my existing project. Thank you!

[@gomesdiogo]

Im fully discritionary trader and do not have interest in programing but your channel is amazing, brother, thanks a lot

[@erhacky]

Very interesting indicator. Using Wyckoff structures and RVOL helps a lot to determine a creek jump, thank you

[@scoringdigitsson.5194]

I was just about to ask about volume spike lol can’t wait for next episode. Thank you for such a valuable content.

[@leonjbr]

Very interesting. This mini series on volume is looking great.

[@agauerm]

Very good indicator to complement volume spread analysis.

[@justtrade9903]

I just stumbled onto your videos. And I must say, love your succinct explanation and the pace in which you deliver your points across. Well done. Learnt a lot here. Thank you!

[@johnpanagiotaras4625]

Dear Martyn and team, You are doing excellent work. The series are ultra helpful. If you could provide me a clarification on something it will be great. I understand that the use of relative volume in time frames such as 5m or 15 m is a must. Does this apply to a daily timeframe? Could the volume give you some intelligence in a such high timeframe? Thanks in advance and keep on!

[@ctrodrums]

Thank you very much, this is awesome stuff!! I would like to see more good indicators like this on the channel for sure.

[@Vemrah]

amazing explanation - !

[@Razeang]

Thank you Martyn, for the effort you putting in these videos. Great video as always. May i also ask if you have coded a RVOL for mt4 also? Thanks. :)

[@AR-kg2xz]

Good video but at 09:47 when you say it follows the green arrow - how can a decrease in volume reverse into bullish as RVOL clearly states dip in vol? I this that pullback was more significant to price action, bullish engulfing candle.

[@eTaupe]

Excellent as always. Dying to see how you code in MQL - the volume trend. LRS (Linear regression slope) ? - the RVOL

[@fabrizioraimondo5960]

Super interesting. thank you Is this volume indicator be used on all time frames in the same way?

[@piotrczerwiec1810]

Dear Mr. Martyn, Thanks for your brilliant work and high quality channel. I have one request, could you please help me ? I am 1M scalper, partially on automated trading and partiallly manual. What would be best RVOL settings for 1M trading. I started using 21 but maybe you have some other experiences. Thanks in advaance for any hint on the subject.

[@anilsinha5884]

Not given , details of indicator, so how , i can check. Thanks for showing new type of thought.

[@MonsieurAltruist]

Thank you so much for the valuable content! I immediately was thinking about implementing it to my EA. Great work! I am wondering, tho: - Is the RVol only applicable on intraday charts? Because on daily candles there is a consistent blank. - There seems to be a consistent pattern higher than the 1h chart (e.g. 4h). Why is it like that? Again, big thanks for that top notch content!

[@aurelien221]

His RVOL indicator is adjusted for time of day. For trading the daily TF, you may want to create a volume indicator adjusted for day of week.

[@abhilashbunty9459]

plz explain how to use this script in tradingview?

[@aaronsmyth7943]

Any chance of mt4 indicator?

[@thealternativecontrarian9936]

What settings should I use? How many average previous candles should I use? My trading is usually for 15 and 30 minutes candles where I am looking for 20-50+ pips at a time. So I am really looking for immediate previous candles, not necessarily what happened 15 candles ago. Am I right? Based on my trading style what settings should I use?

[@liamhoward2208]

I’ve noticed in crypto the volume usually comes before the breakout. Why would that be?

[@albertocastellucchio3865]

Click the thumb up people! This is gold. Free gold. So don't be shy! Go and share

[@bharathiganesh4902]

I am getting this error "Script could not be translated from: null"

[@NismoYT]

If you refering to Tradingview this script is not pine script. You have to convert it to pine script first. Just copy paste wont work. We need help from these guys to utilise the script in tradingview. Or someone who know both.