SIMPLE VOLUME BREAKOUT Trading Guide

The Simple Volume Breakout indicator constructs dynamic containment channels backed by statistically massive volume clusters. It analyzes the buying vs. selling pressure deep within these structural boxes, generating predictive breakout signals when price escapes heavily defended zones.

What does the indicator show?

• Dynamic Price Channels: Transparent boxes wrapping horizontal pivot extremes, originating from intense volatility and volume spikes.
• Breakout Triangles: Distinct visual markers plotted the moment a candle closes outside an established volume channel.
• Trend Lines: Smoothed directional support/resistance tracking the trajectory of resolved breakouts.
• Internal Volume Sentiment: Mathematical distribution readouts displaying the dominance percentage of buyers inside recent boxes.

Key Settings

• Box Detection Length: How many bars of volume standard deviation to measure before establishing a new structural channel.
• Strong Closes Only: When enabled, requires breaks to occur using definitive closes rather than wicks before triggering a breakout.
• Profile Resolution: Density of internal price brackets used to calculate intra-box sentiment.

How to use Strategy Parameters (Condition Source)

In the Strategy Tester, this suite offers complex dimensional logic regarding volume accumulation.

1. Directional Breakouts

• bullishChannelBreak — Triggers true when price blasts through the upper boundary of an active channel.
• bearishChannelBreak — Triggers true when price crashes down through the lower boundary.

Strategy Example: Execute a Short entry exactly when bearishChannelBreak is true to ride sudden cascading volume stops.

2. Internal Volume Sentiment

• currentSentimentPct — The exact percentage (e.g. 50 to 100) of buy vs sell dominance happening in real-time inside the active channel.
• box1WinnerPct — Contains the final, frozen percentage of the winning side from the most recently destroyed channel.

Strategy Example: To avoid fake-outs, filter your long entries to only trigger when bullishChannelBreak is true AND currentSentimentPct > 60, proving bulls are actually accumulating.