In this video, Ross Cameron from Warrior Trading does a deep dive into how he uses relative volume (RVOL) to spot unusual volume in stocks that are about to make big moves. As Ross states, this is useful for stock selection. Although TickSurfers RVOL indicator displays differently, the concept is the same.
If you’re using RVOL in TradeStation®, you can make use of the RadarScreen to show RVOL on a list of stocks. To do this, open a RadarScreen window, add a list of stocks and switch the timeframe to 15 minutes or lower and make sure to include pre-market data. Once plotted, you can sort the column from highest to lowest to have stocks with highest RVOL on top.
Troubleshooting
TradingView
Due to the complex nature of the calculation, we have limited the default number of calculated bars to 10000 in order to avoid a timeout error in TradingView. However, if you need to see more bars, you can make small increments in the indicator settings under "Calculated bars".
TradeStation
If the study is not plotting any values, then make sure that the chart has an equal or greater number of lookback days as the lookback in the study input settings. For example, if you have a 5 minute chart with 5 days worth of bars of the SPY and you have set the lookback period for RVOL to 21 days, then the indicator cannot calculate as there are not 21 days worth of bars to use for the calculation. To fix this, go to Timeframe -> Customize and set the Range to 21 days or more.
NOTE: TickSurfers is not affiliated with Ross Cameron or Warrior Trading and does not earn commissions for promoting this video. For educational purposes only.