PRAETIR / Concepts & indicators

Compare time bars and volume bars

Time bars and volume bars partition the same trading sequence by different rules. Bar shape, indicator periods and the apparent speed of activity can therefore differ.

What completes a bar

A one-minute bar summarizes the selected minute interval. A 300-volume bar follows a volume threshold. How a platform handles executions at the boundary can affect the exact bar completion. Record the bar type and data source.

Same duration, different bar counts

Suppose 900 contracts trade in one minute and 300 in the next. In a simplified model starting on a matching boundary, these can form three and one 300-volume bars respectively. Each interval still lasts one minute; the volume chart contains different numbers of observation points.

A period of ten bars therefore does not describe a fixed ten-minute window. Compare AMA, ATR or other period-based indicators only with their bar basis documented.

Connect events through timestamps

Mark entry and exit using actual times. The third visible bar is not the same moment across two bar types. Matching time zones and contract months help avoid confusion when comparing views.

Match the view to the review question

A time grid directly supports comparisons of fixed time windows. A volume grid can help examine successive blocks of trading activity. Preserve the original view rather than choosing whichever display makes the trade look most convincing after the outcome.

Simplified synthetic example · no boundary-spanning fills
Time windowVolume300V bars
14:30–14:319003
14:31–14:323001

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