Skip to main content

Volume Acceleration

Quick Reference

PropertyValue
Dimensionsignal
Categoryorder_flow
Versionv0.9.0 (Beta)
Output Columnvolume_acceleration

Volume acceleration: volume - prev(volume) - rate of change in trading activity intensity

Formula

diff(volume, 1)

CDM Inputs

ColumnCDM TableDescription
volumecdm_*CDM source table

Parameters

This FeatureType has no configurable parameters.

Output

Column: volume_acceleration

Change in trading volume from previous observation

Market Intuition & Trading Rationale

Volume Acceleration is a order_flow FeatureType in the signal dimension. It captures volume acceleration: volume - prev(volume) - rate of change in trading activity intensity

Volume acceleration measures the rate of change of trading activity: diff(volume, 1). It's the first derivative of volume — positive acceleration means volume is increasing (activity is picking up), negative means volume is decreasing (activity is fading). Volume acceleration often leads price acceleration: traders rush in before the price moves, so volume spikes precede price spikes.

Acceleration is more informative than raw volume because it captures the change in activity, not the level. A market can have high volume but zero acceleration (steady, heavy trading) or low volume but positive acceleration (activity suddenly picking up from a quiet baseline). The latter is often the more actionable signal — it indicates something new is happening.

Usage Cases

  • Pre-breakout detection: Positive volume_acceleration with stable price = accumulation before a breakout. Traders are positioning ahead of the move. Enter in the direction of concurrent OFI or trade_sign.
  • Momentum exhaustion: Negative volume_acceleration during a strong trend = the trend is losing participation. The price may continue on inertia, but the fuel is running out — tighten stops.
  • News reaction assessment: After a news event, monitor volume_acceleration. A spike that immediately decays (negative acceleration) = the news was priced in one burst. Sustained positive acceleration = the news is triggering a cascade of reactions.

YAML Definition

name: volume_acceleration
description: 'Volume acceleration: volume - prev(volume) - rate of change in trading
activity intensity'
category: order_flow
version: v0.9.0 (Beta)
dimension: signal
status: Pre-release
required_inputs:
- volume
output_column: volume_acceleration
output_description: Change in trading volume from previous observation
parameters: {}
formula: diff(volume, 1)