[CrudelyTrading]

What is a Tick Chart based on ?

Volume chart is numbers of contracts passed through, so 1000 volume chart will move to next bar when 1000 contracts have passed... so what is Tick Chart measured on ?

Great forum guys

Thanks.

[zapisy]

Volume is the total volume traded, ticks are only when the price changed from let say 1 to 1.1. - one tick, from 1.1 to 1 again, second tick; but this tick does not show how many contracts/shares were exchanged during that price change.

[BlowFish]

Originally Posted by zapisy »

Volume is the total volume traded, ticks are only when the price changed from let say 1 to 1.1. - one tick, from 1.1 to 1 again, second tick; but this tick does not show how many contracts/shares were exchanged during that price change.

No. Tick charts are based on ticks (or individual trades or prints) regardless of price movement, volume or time..

e.g. a 50 tick chart would start a new bar after 50 trades are reported (regardless of the price they occurred at, the volume of each trade, or the time between the trades)

Google is your friend for quick straight forwards questions.

[CrudelyTrading]

Thank-you BlowFish.

Yes, I heard of those Google people, unfortunately what I tend to find is that you can find contradictory answers without actually knowing who is right, my point is proved in this very post where Zapisy is incorrect. Had I have found Zapisys answer first on "Google" then I would have been in receipt of the wrong information, wouldn´t I.

I thank you too Zapisy :-)

Originally Posted by BlowFish »

No. Tick charts are based on ticks (or individual trades or prints) regardless of price movement, volume or time..

e.g. a 50 tick chart would start a new bar after 50 trades are reported (regardless of the price they occurred at, the volume of each trade, or the time between the trades)

Google is your friend for quick straight forwards questions.

[johnw]

Originally Posted by CrudelyTrading »

Thank-you BlowFish.

Yes, I heard of those Google people, unfortunately what I tend to find is that you can find contradictory answers without actually knowing who is right, my point is proved in this very post where Zapisy is incorrect. Had I have found Zapisys answer first on "Google" then I would have been in receipt of the wrong information, wouldn´t I.

I thank you too Zapisy :-)

Hi CT,

Any question relating to data flow is best directed to your data provider, since there can be subtle distinctions between them.

However, broadly speaking, volume charts bundle up the number of contracts traded on the basis that might is right and that it is contracts that create orderflow.

On the other hand some people believe that regardless of the number of contracts placed, it are Traders who place them and that is where the importance should lie.... hence we have tic charts.

Then again, some people want to reduce the noise by only concerning themselves with bars that have moved 'n' ticks or pips and so Range bars are born.

And in the beginning were Traders who felt that they could see the fluidity of the orderflow by slowing it down a bit by bundling movement into time bars.

Only you can decide which suits you best.

Some Traders can make money from any style of bar, but prefer one type more than the others.

And then there are people who can lose their money using any bar, any method and any indicator