volume confirmation coach

The problem

Price action without volume context is a trap. It is difficult to distinguish between a breakout backed by institutional accumulation and a low-liquidity drift that will likely reverse.

What it does

• Calculates Relative Volume (RVOL) against 5, 20, and 50-day lookback periods to gauge interest levels.
• Detects volume spikes by identifying statistical outliers relative to the trailing 50-bar average.
• Correlates sector-wide participation to determine if a move is broad-based or isolated to a single ticker.
• Categorizes movements into meaningful participation, weak confirmation, or distribution based on price-volume divergence.

Why this beats prompting it yourself

General LLMs often treat volume as a binary metric. This skill applies a specific quantitative framework to RVOL and sector breadth, ensuring you don't mistake a high-volume reversal for a bullish breakout.

Use cases

• Vetting breakout quality on daily or intraday charts before entry.
• Identifying distribution or exhaustion at key resistance levels.
• Determining if a sector-wide rally has the breadth to sustain a trend.
• Filtering out "fake-out" moves that lack institutional participation.