Intraday Intensity Index: Read Volume Pressure on TradingView

The Intraday Intensity Index (III) weights volume by where the close falls within a bar's high-low range. It is a price-and-volume proxy, not a record of buyer-initiated versus seller-initiated trades. A positive reading does not identify who traded or establish that a breakout will continue.

Read the formula literally

For a bar with a nonzero range:

III = ((2 × Close − High − Low) / (High − Low)) × Volume

The fraction is +1 at the high, −1 at the low and zero at the midpoint. Assuming ordinary nonnegative volume and a close inside the range, the raw value lies between negative and positive bar volume. A positive result means the close is above the midpoint; it does not require unusually heavy volume.

For an illustrative bar with high 110, low 100, close 108 and volume 1,000, the multiplier is 0.6 and III is 600. With the same volume and close 102, III is −600. A midpoint close produces zero even on a high-volume bar. These are arithmetic examples, not market observations.

A zero-range bar makes the fraction undefined. Missing volume also prevents an ordinary raw calculation. Inspect how the specific script handles those cases rather than silently interpreting a missing result as neutral pressure.

Raw, smoothed and normalized are different series

Pineify's library configuration plots Pine's ta.iii with a zero reference line. It does not, by default, add a five-bar average or turn the series into a percentage. A rolling sum, moving average or volume-normalized version answers a different question and must be named explicitly.

Raw III magnitudes are not directly comparable between symbols with different volume units or timeframes. A broker's forex tick volume is not the total traded volume of the global currency market. Some index symbols have no usable volume. Identify the data source before comparing readings.

Add and verify the output

Find Intraday Intensity Index in Pineify, generate the configured indicator and inspect its output in TradingView. Check a few nonzero-range bars against the formula using the Data Window's OHLCV values. If you add smoothing, compare that new series separately with the raw output.

The Pine reference manual documents the built-in series. This article does not claim the author personally observed predictive signals on AAPL, TSLA or SPY.

Form a testable hypothesis

One hypothesis is that a positive raw III value adds information to an independently defined price breakout. Another uses a smoothed III threshold. Specify which one you mean: changing the averaging window after seeing the result changes the experiment.

For divergence, define swing detection and when each swing becomes confirmed. A lower indicator peak beside a higher price peak is a description; a reversal is not guaranteed. Current-bar values change while price and volume update.

Keep the same symbol, timeframe, rule set and costs when comparing a price-only rule with a price-plus-III rule. Review individual trades, drawdown and the held-out period. There is no universal 100-trade threshold that validates a strategy, and daily readings are not automatically more reliable than intraday readings.

FAQ

▶Does positive III prove net buying?

No. It means the close is above the bar's midpoint, weighted by volume. It does not classify transactions by aggressor side.

▶What does zero mean?

With a nonzero range and volume, a midpoint close gives zero. Zero volume also gives zero; undefined inputs need separate handling.

▶Can I smooth the series?

Yes, but smoothing changes timing and interpretation. Record the method and length, then test that version rather than claiming the raw indicator has the same behavior.

▶Does it work on every symbol?

It requires suitable price and volume data. Check the feed and the script's handling of missing values before using the output.