Price Action Toolkit: Volume Imbalances

Volume Imbalance (VI) in the Price Action Toolkit

A Volume Imbalance (VI) occurs when there is a gap between the open of a candle and the close of the preceding candle. The Price Action Toolkit automatically detects and plots VIs on your chart.

Settings

Sensitivity

The sensitivity setting filters out VIs by their gap size. A higher sensitivity will detect larger VI gaps, while a lower sensitivity detects more frequent, smaller VI gaps.

Label

When enabled, a text label will be plotted with the gap, clearly identifying the zone as a Volume Imbalance.

Disable Overnight Gaps

If enabled, gaps that occur between market close & market open will not be plotted on your chart, which is useful for assets with gap-up openings like stocks and futures.