One of the problems facing a trader is interpreting how volume is confirming, or Not confirming, a trade or a potential trade.

With a standard volume histogram on a chart, it is not always that clear, as to what the overall volume picture is doing. We therefore use indicators like OBV etc. to assist us in deciphering the picture.

The Brightspark Swing Volume indicator attemps to give a graphical picture, of how Volume develops with important Swings in the market. This tends to show a very easy to understand picture, of how strong or weak a particular trend is developing, in the stock being analysed. To accomplish this, we look at both minor, and major swings in price, and compare the Volume build up.

In the daily Chart in Figure 1 below we have shown a sample of a 7 month graph of a stock, with a very graphical display of how the Volume builds up, in both major and minor swings over the 7 month period.

The Brightspark Swing Volume indicator may be of great assistance to traders in deciding when to time entries, and exits, and can easily be combined with other analysis techniques, like Support and Resistance, Bollinger Bands, 1-2-3 Entries and exits and more.