Intraday Intensity Index (III)

The Intraday Intensity Index reads where each bar closed inside its own range. The position multiplier is (2 x close - high - low) / (high - low): +1 when the bar closes on its high, -1 when it closes on its low, and 0 when it closes exactly in the middle. That multiplier is applied to the bar's volume, floored at 1, so every bar contributes a share of its volume with the sign of its close. A bar with no range contributes zero.

In the default mode the values are summed over the last Period bars and divided by the full period from the first bar, so the early readings are damped rather than absent. With Cumulative Mode on, the values are instead added into a running total from the first bar, which turns the study into an accumulation line.

In the default mode, a reading above zero means bars have tended to close in the upper part of their range on their volume, a sign of buying pressure; below zero means closes near the lows. The size of the reading tells you how much volume sat behind that pressure.

In Cumulative Mode, read the slope rather than the level. A rising line means volume keeps closing near the highs; a line that falls while price rises suggests the advance is not being supported. The first Period bars of the default mode are smaller than they would be later, because the sum is divided by the full period before the window has filled.