On each tick on a time-based chart

[TraderJA]

Hi, I assume a tick is a number of trades we can establish when using tick-based charts.

So my question is: when using time-based charts, does make sense setting the field Calculate to "On each tick" for an indicator? If it does, how many trades would make a tick? How would that setting behave in a time-based chart?

Thank you.

[NinjaTrader_ChelseaB]

Hello TraderJA,

"Hi, I assume a tick is a number of trades we can establish when using tick-based charts."

I'm not quite certain of your meaning here.

A tick sent out from a data provider is an update with the price and volume of last trades. This can be the accumulated volume of trades during an elapsed period or could be individual trades, depending on the data source.

"So my question is: when using time-based charts, does make sense setting the field Calculate to "On each tick" for an indicator? If it does, how many trades would make a tick? How would that setting behave in a time-based chart?"

The Calculate setting controls how often the OnBarUpdate() method is called and the logic of your script evaluated.

With OnEachTick, the logic will be evaluated on every tick received from the data provider. There can be many ticks received at the same price.
With OnPriceChange, the logic will be evaluated on each tick that has a different price than the previous tick, meaning the last price has changed.
With OnBarClose, the logic will be evaluated after the bar has closed.

If you are collecting volume, such as the VOL() indicator does, use Calculate.OnEachTick to process the volume of every tick.
If you are wanting to drive intra-bar actions, such as placing an order while a bar is open or when indicator values update, but are not collecting volume, use Calculate.OnPriceChange to react when the price changes.
If you are wanting actions and logic evaluated after the bar has closed, use Calculate.OnBarClose. This will also have the lowest CPU and memory resource use.

[TraderJA]

Thank you very much.

Yes, I got it wrong. Now I assume that, on a tick chart, each candlestick represents the number of ticks we set on the timeframe selector.

In my case, since each candlestick on my tick chart appears at irregular time intervals, I assume that each tick represents a trade; in case of one tick defined an elapsed period of time, each candlestick would appear at regular intervals.

[NinjaTrader_ChelseaB]

Hello TraderJA,

A tick sent out from a data provider is an update with the price and volume of last trades. This can be the accumulated volume of trades during an elapsed period or could be individual trades, depending on the data source.

On a Tick chart, the candle is representing the price movement while the set amount of ticks were received. A 100 Tick chart would be showing the price movement during the time 100 ticks were received. These bars will have irregular time stamps, as the bar will remain open until the set number of ticks are received and this is not based on time.

[TraderJA]

This can be the accumulated volume of trades during an elapsed period

Hello Chelsea.
In this case, that elapsed period of time is a fixed period of time or not necessarily?

Thank you.

[NinjaTrader_ChelseaB]

Hello TraderJA,

No, this is not a fixed period of time. The bar will be open for as long as it takes for 100 ticks to be received. (Or however many ticks the value is set to)