new indicator learned: frequency analyzer

feel free to read guys.

frequency analyzer:
- it basically shows how many lots are done per transaction.
- basic formula: total lots transacted intraday/ total number of trades or transactions intraday

- high green bar; indicates the average buying lots per transaction is huge, indicating smart money is possibly accumulating.

- high red bar; indicates the average lots selling per transaction is huge; indicating smart money is possibly distributing.

- low green bar; indicates the average buying lots is low, possibly confirming the presence of retail accumulation instead of smart money accumulation

- low red bar; indicates the average selling lots is low, possibly confirming the presence of retail distribution instead of smart money distribution.


a lot of case variations:

- sideways, no spike (but low green bars) in frequency analyzer but volume (when candle green) is high, smart money possibly accumulating
- sideways, no spike (but low red bars) in frequency analyzer but volume (when candle red) is high, smart money possibly distributing

- best used in sideways price action: if price moves sideways with sudden spike in frequency analyzer, high likelihood that price will rise

- for trading, check for extreme spikes in the bars, especially green bars (e.g. 5-10x or more spike in lots buying from previous bar), combine with market structure analysis and this can be a valid trade set up to enter!

unsure of the red bars/green bars:

- does red bars tell us that sell transactions dominate buy transactions, and green bars vice versa? that's what i assumed in my explanation above.


$PSAB $MINE