How to interpret VolumeZones indicator

[notone]

I'm confused by the bar which is fourth from the bottom:



It's totally red which implies there was no buy volume at all (i.e. no trades at ask). This can't be right though because we can see an up candlestick in this zone that must have had some buying volume in it. Can someone explain this please?

[NinjaTrader_Ray]

NinjaTrader does not have historical bid/ask information to determine if trades went off above or below the market. This indicator uses historical bar data only. Its an indication of the volume at specific price levels not an exact representation since...the exact data is not available.

Same implementation as this - http://stockcharts.com/school/doku.p...rice_by_volume

[NinjaTrader_Ray]

Volume Zones Indicator

The Volume Zones indicator plots a horizontal histogram on the left side of a chart that indicates volume levels on historical and real-time data. The length of each bar represents the cumulative total of all volume bars for the periods during which the closing price (user defined price type) fell within the vertical price range of the histogram bar. Each bar is color coded to differentiate up (Close > Open) and down (Close < Open) volume. This indicator is designed for use against historical data only and NOT intended to be used on real-time data. Use the "Volume Profile Indicator" for real-time data.

[notone]

Thanks. According to the link "The first color shows the total volume on days when the price moved higher. The second color shows the total volume for the days when prices moved lower." So what exactly does that all red bar in my chart represent? Does it mean the volume in this zone only occurred on up days? If so it's a bit counter-intuitive that it's in red.

Other than that I like the indicator by the way.

[NinjaTrader_Ray]

Red means the a bar that closed at that price level closed at the open price or lower.

[notone]

Red means the a bar that closed at that price level closed at the open price or lower.

Sorry but that sentence doesn't make any sense to me. What do you mean by "the a bar"?

p.s. I'm not a newbie. I understand the difference between an up and a down bar I just can't understand why the VolumeZone bar I'm referring to in the chart I posted (fourth from bottom) is all red.

I posted another image to clarify my question.

[NinjaTrader_Ray]

What I meant was the bar (candlestick) where the close price fell within the range of the horizontal histogram bar, if that bar's close is less than its open, it would be counted as down volume.

In your image, the bar should be green. I then reviewed the indicator code and noticed a bug. This will be resolved for our next update.

Thanks for pointing this out.