Coding sell/buy indicator

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Hi,

I would like to code (at least try to) an indicator that could give me a hint regarding the volume of sells/buys during a current bar.

I know how to code in mql4 but I would appreciate ideas that could help to get somehow the desired result, if that is even possible. What is needed? where to start?.

My initial approach was to put attention on the tick volume, but I do not really see how to extract or infer sell/buy information from that.

Any help appreciated.

Note: this would be not for FOREX markets but for any other CFD, Futures, Indexes, etc.

 
Pedro Sanchez:

Hi,

I would like to code (at least try to) an indicator that could give me a hint regarding the volume of sells/buys during a current bar.

I know how to code in mql4 but I would appreciate ideas that could help to get somehow the desired result, if that is even possible. What is needed? where to start?.

My initial approach was to put attention on the tick volume, but I do not really see how to extract or infer sell/buy information from that.

Any help appreciated.

Note: this would be not for FOREX markets but for any other CFD, Futures, Indexes, etc.

You can’t really get that information from the tick volume. The most you can do is to infer the volume making use of the M1 candles.

For example, in one H1 bar there is 60 M1 bars. If you add the volume of all the Bull M1 candles, and separately add the volume of all the Bear M1 candles, you can get an inferred approximation of how many ticks were “buys” and how many were “sells”. You could even go a little further and analyse each M1 bar and based on the High and Low values compared to the Open and Close, you could adjust it even a bit more.

But in the end, it is just an inferred approximation of the Buy and the Sell Tick Volume.

EDIT: Also, MT4 does not have real volume, only tick volume! So, this is of limited use for CFD, Futures, Indices, etc.

 

Thanks for your explanation, so I understand that this would apply for higher time frames like H1 or more.

Nothing that can be done about this on the M1 charts for example?, I have also read about this concept of the Depth of Market or Level 2 but not even sure if this is available on MT4.

 
Pedro Sanchez: Thanks for your explanation, so I understand that this would apply for higher time frames like H1 or more. Nothing that can be done about this on the M1 charts for example?, I have also read about this concept of the Depth of Market or Level 2 but not even sure if this is available on MT4.

For M1 all you could do is take a very simplistic view of the bar as having made 3 moves, taking into consideration each of the price levels Open, Low, High, and Close. For example, for a Bull bar one can imagine a very simplistic breakdown of the moves as open to low as sell volume, low to high as buy volume, high to close as sell volume, but this is obviously very simplistic.

MT4 does not have Depth of Market or Level 2. Some brokers provide an add-on with some of Depth of Market information but it is not accessible from MQL code.

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