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Asked a question 2 years ago

What is the difference between Volume & Volume Profile Indicator and how to use them?

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Programmer in pine

volume is information against time dimention while volume profile is information against price.

Hey @Anonymous15,

As mentioned by @Saurabh Pandey14, the Volume indicator is used against time. It shows the trading volume for a particular day or for a time frame. For example, how much trade has taken place over a duration of 5 mins time. 

Whereas, Volume Profile Indicator shows the amount of volume for a particular price range. Say, how much volume has been traded for 100/- over a month. 

Volume can be an indicator of market strength, as rising markets on increasing volume are typically viewed as strong and healthy. On the other hand, Volume profile indicator helps determine a security’s price direction and strength of price change. 

Hope this clarifies! :)