1. What Is Volume Ratio (VRT)?

Volume Ratio (VR or VRT) is a financial metric used to measure the percentage difference between two volumes, typically comparing right volume to left volume. It helps analyze volume disparities in various financial contexts.

2. How Does The Calculator Work?

The calculator uses the VR formula:

Where:

• \( V_r \) — Right volume (units)
• \( V_l \) — Left volume (units)
• \( VR \) — Volume ratio percentage (%)

Explanation: The formula calculates the percentage difference between the right volume and left volume relative to the left volume.

3. Importance Of VR Calculation

Details: Volume ratio analysis is crucial in financial markets for identifying volume imbalances, detecting potential trend reversals, and confirming price movements through volume confirmation.

4. Using The Calculator

Tips: Enter both right volume (V_r) and left volume (V_l) in the same units. Ensure V_l is greater than zero for valid calculation. The result shows the percentage difference.

5. Frequently Asked Questions (FAQ)

Q1: What does a positive VR value indicate?
A: A positive VR value indicates that the right volume exceeds the left volume, suggesting higher volume on the right side of the comparison.

Q2: What does a negative VR value mean?
A: A negative VR value means the left volume is greater than the right volume, indicating higher volume on the left side.

Q3: How is VR used in financial analysis?
A: VR is used to analyze volume patterns, identify buying/selling pressure, and confirm price trends through volume confirmation in technical analysis.

Q4: What are typical VR value ranges?
A: VR values can range from -100% to positive infinity, with 0% indicating equal volumes between both sides.

Q5: Can VR be used for other applications beyond finance?
A: Yes, VR can be applied in various fields including engineering, physics, and any scenario requiring volume comparison between two entities.