Volume to Absolute Return Ratio

Category: volume, volatility

Measures the ratio of trading volume relative to the percentage price change (normalized absolute return) to identify high-conviction moves versus high-effort/low-result price action.

Formula

\frac{Volume}{| \frac{Close}{Open} - 1 |}

See signal primitives and every published strategy that uses Volume to Absolute Return Ratio on WOBR StrategyVerse.