Here are two interesting uses for the Daily Price Lines tool in Ensign. Both have the tool set to "Time" as shown below:
- Fixed time in Tick Charts
By applying the "Daily Price Lines - Time" setting to a tick chart, you can keep track of fixed time increments on a tick chart, as shown below. This also illustrates how the tick chart accounts for changes in volume during the day. In this 600-tick chart, the first half hour from 9:30~10:00 (shown as 6:30~7:00, Pacific time) is made up of 15 candles, or about two minutes per candle. Conversely, during the lowest volume period of 13:30~14:00 (10:30~11:00 Pacific), the half hour period has only four candles, or 7.5 minutes per candle. Likewise, the entire overnight session - 16 hours - can be summarized in only 10 candles. This is a much more representative way of seeing the entire 24-hour trading day.
- Observing Time Cycles
Here, half hour increments are applied to the same time period as above, but in a 3-minute chart. The (R) notations show where prices reversed at one of the half hour increments - an interesting observation which is aided by the Daily Price Lines tool.
