A new way of looking at the trading day, based upon the discrepancies in times which volume spikes has been created and we think it’s pretty cool (via Felix Salmon). The chart, designed by Proteus Financial per Felix Salmon’s suggestion, has the trading day broken up by volume, rather than a traditional time scale.
So for example, where as the traditional chart — shown via the blue line and using the axis at the top — breaks the day up into 40-minute increments, the volume chart (in red) is broken up by increments that represent 10% of the day’s trading volume.
With volume so high at the beginning and the end of the day, the chart smooths the movements of the market, compared to the traditional time based chart. Check out the axis for the time within each period.
Check out the chart (via Felix Salmon) (Time based in blue, Volume based in red):
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