What is Supply & Demand?
Supply & Demand Zones finds the same kind of zones as Auto Support & Resistance Zones, clusters of swings where price has turned more than once, and adds one more dimension, the volume traded inside each zone. Demand zones sit below price and supply zones above it, and a zone that has held from both sides is marked as flipped.
Each zone's colour runs from a weak tint to a strong one according to its volume. The busiest zone on the chart is the strongest colour, and every other zone is shaded relative to it. The label shows the touch count and the volume grade.
This is a closed-source premium script. It runs on Altrady's servers, so only its output reaches your chart and its code is not published.
How to use Supply & Demand
- Strong colour. A zone where a lot of volume changed hands. Heavy traffic at a level is read as real interest, so traders expect it to matter on the next visit.
- Weak colour. A zone price has turned at, but with little volume. It may give way more easily.
- Flipped zones. A zone that has worked as both supply and demand. Old supply holding as demand after a breakout is the classic case.
- Relative, not absolute. The grade compares zones on this chart with each other. It answers which level here is strongest, not whether a level is objectively heavy.
Settings
Swings
| Setting | Default | Range | What it changes |
|---|---|---|---|
| Timeframe | Chart | Chart, 15m, 30m, 1h, 4h, 1D | Read the zones from a higher timeframe while trading a lower one. |
| Swing Length | 5 | 1 or more | Bars either side of a pivot. |
| Significance (ATR x) | 1 | 0 to 10 | A swing must cover this much ATR to count. |
Zones
| Setting | Default | Range | What it changes |
|---|---|---|---|
| Cluster Within (ATR x) | 0.5 | 0.01 to 5 | How close a swing must be to a zone's centre to join it. |
| Min Touches | 2 | 1 to 20 | Touches before a zone is drawn. |
| Max Zones | 8 | 1 to 50 | How many zones stay on the chart, kept by strength. |
Volume
| Setting | Default | Range | What it changes |
|---|---|---|---|
| Volume Lookback | 200 | 10 to 1000 | How many bars of volume to accumulate. A longer lookback gives more stable grades but may include volume from before the zone existed. |
Display
| Setting | Default | Range | What it changes |
|---|---|---|---|
| Show Zones | On | The zone boxes. | |
| Show Label | On | Touch count and volume grade on the zone. | |
| Show Border | On | ||
| Label Size | Tiny | Tiny, Small, Normal, Large, Huge | |
| Show State Pane | Off | A sub-pane with zone count, max volume grade, and flip events. |
Colours
| Setting | Default | Range | What it changes |
|---|---|---|---|
| Demand Weak | #089981 | Low-volume demand (support) zone tint. | |
| Demand Strong | #089981 | High-volume demand (support) zone tint. | |
| Supply Weak | #f23645 | Low-volume supply (resistance) zone tint. | |
| Supply Strong | #f23645 | High-volume supply (resistance) zone tint. | |
| Flipped | #ff9800 | A zone that has held from both directions. | |
| Label | #b0b3b8 |
Alerts: sd_high_volume_zone, sd_flip.
How it works
Swings are clustered into zones the same way as Auto Support & Resistance Zones. A swing joins a zone when it lies within a set multiple of the average true range of that zone's centre, and a zone is drawn once it has Min Touches, two by default. The strongest eight are kept.
Over the Volume Lookback, 200 bars by default, the script adds up the volume of every bar whose range overlaps each zone, sharing a bar's volume when it touches more than one zone. Each zone's grade is its volume divided by the busiest zone's volume, so the busiest is always 1.
sd_high_volume_zone fires for a zone graded 80% or higher, and sd_flip when a zone flips between supply and demand.
Limitations
- The busiest zone always grades 1. Because grades are relative, one zone is always at full strength, even on a quiet chart.
- Volume can come from before the zone. A long lookback can count volume traded at a price before the zone formed there.
- Confirmation lag. Touches are confirmed swings, so a zone gains a touch Swing Length bars after the swing happened.
- Volume is per exchange. The volume is that of the market on your chart, which only covers trading on that exchange.
- Zones are not entries. A heavy zone marks interest, not a guaranteed reaction.
Get Supply & Demand
Premium scripts are a one-time purchase in the Altrady marketplace and need a paid Altrady plan to run.
- Supply & Demand Zones $7 This script on its own.
- Volume Profile & Zones bundle $19 4 premium scripts, Supply & Demand included.
- Altrady Complete Suite $109 All 36 premium scripts.
Frequently asked questions
The zones are found the same way. This script adds the volume traded in each zone and shades the zones by it, so you can see which levels had the most traffic.
A zone's volume as a share of the busiest zone's volume on the chart. The busiest zone is 1, or 100%, and the rest are fractions of it.
Volume Lookback, 200 bars by default and up to 1,000. A longer lookback gives steadier grades but may include volume from before a zone existed.
Two. sd_high_volume_zone fires for a zone with a volume grade of 80% or higher, and sd_flip when a zone flips to supply or demand.
Yes. Supply & Demand Zones is a closed-source premium script. It runs on Altrady's servers, so only its output reaches your chart and the code is never shared. You buy it once in the Altrady marketplace, on its own, in the Volume Profile & Zones bundle or in the Altrady Complete Suite, and it needs a paid Altrady plan to run. It is also included with your first annual Premium subscription.
Use the Get it in Altrady button on this page to open its listing in the Altrady marketplace. Once it is in your account, open the indicator picker on any chart in Altrady Charts and add Supply & Demand Zones like any other indicator. Its settings are in the indicator's settings panel.