OPEN-SOURCE SCRIPT
Liquidity Intensity EGX
Why This Indicator Matters:
Traditional volume indicators fail on EGX because:
A 50M EGP day is massive for a 500M market cap stock (10% ratio)
A 50M EGP day is tiny for a 50B market cap stock (0.1% ratio)
Liquidity Intensity EGX solves this by normalizing for market cap, giving you an apples-to-apples comparison across the entire exchange.
Created for the Egyptian Exchange (EGX). Works best with EGX-listed stocks, but applicable to any exchange with market cap data.
Overview
Liquidity Intensity EGX is a custom indicator designed specifically for the Egyptian Exchange (EGX) to measure and visualize stock liquidity intensity. Unlike generic volume indicators, this tool calculates the Liquidity Ratio (%) — the daily trading value relative to the company's market capitalization — giving you a normalized view of liquidity that works across all market cap sizes.
How It Works
The indicator combines three key metrics:
Metric Formula Purpose
Liquidity Ratio (%) (Volume MA × Close) / Market Cap × 100 Normalized liquidity measure
Trading Value (EGP) 21-day SMA Volume × Close Average daily turnover in EGP
Volume Spike Today's Volume > 2× Volume MA Identifies unusual activity
📋 Quick Reference Card
🟢 > 0.50% = High Intensity → Trade freely
🔵 0.10-0.30% = Healthy/Good → Optimal conditions
🟠 0.03-0.09% = Moderate → Size carefully
🔴 < 0.01% = Low/Stagnant → Avoid or limit orders
🟡 Yellow BG = Volume Spike → Momentum alert
Practical Example: Trading AMOC
Scenario
You're analysing AMOC (Alexandria Mineral Oils Company) on the daily timeframe:
Current Readings:
Liquidity Ratio: 1.80%
Line Colour: 🟢 Green (High Intensity)
Background: Transparent (no volume spike today)
Avg Trading Value: 95M EGP
Market Cap: ~5.2B EGP
Interpretation
🟢 Green Line (1.80%) — AMOC is experiencing exceptional liquidity (more than 3× the "High Intensity" threshold).
This indicates strong institutional or retail interest.
Transparent Background: While the liquidity ratio is excellent, today's volume is actually below average (95M vs 191M EGP average).
This suggests the high ratio is sustained by the stock's smaller market cap, not an explosive volume day.
Trading Decision The green signal confirms AMOC has sufficient liquidity for confident position sizing.
However, the lack of a volume spike suggests waiting for a yellow background confirmation before entering a momentum trade.
🎯 Best Practices
For Day Traders
Focus on Green + Yellow combinations for the highest probability momentum trades
Avoid Red stocks entirely, you'll face slippage and exit difficulties
For Swing Traders
Blue stocks offer the best risk/reward for multi-day holds
Use Orange stocks only for high-conviction setups with smaller position sizes
For Large Positions
Minimum Blue tier recommended for positions > 100K EGP
Orange and Red require breaking orders into smaller chunks
Market Cap Considerations
Small-Caps (< 1B EGP): Often show Green/Blue easily, verify with absolute EGP volume
Mid-Caps (1B–10B EGP): Blue/Orange range, best balance of liquidity and growth
Large-Caps (> 10B EGP): Often Orange, acceptable for stability, not momentum
🔔 Alert Conditions
The indicator includes two built-in alerts:
Alert Name Trigger Use Case
Volume Spike Detected Volume > 2× 21-day average Catch momentum early
Low Liquidity Warning Trading value drops below 5M EGP Exit illiquid positions before getting stuck
Traditional volume indicators fail on EGX because:
A 50M EGP day is massive for a 500M market cap stock (10% ratio)
A 50M EGP day is tiny for a 50B market cap stock (0.1% ratio)
Liquidity Intensity EGX solves this by normalizing for market cap, giving you an apples-to-apples comparison across the entire exchange.
Created for the Egyptian Exchange (EGX). Works best with EGX-listed stocks, but applicable to any exchange with market cap data.
Overview
Liquidity Intensity EGX is a custom indicator designed specifically for the Egyptian Exchange (EGX) to measure and visualize stock liquidity intensity. Unlike generic volume indicators, this tool calculates the Liquidity Ratio (%) — the daily trading value relative to the company's market capitalization — giving you a normalized view of liquidity that works across all market cap sizes.
How It Works
The indicator combines three key metrics:
Metric Formula Purpose
Liquidity Ratio (%) (Volume MA × Close) / Market Cap × 100 Normalized liquidity measure
Trading Value (EGP) 21-day SMA Volume × Close Average daily turnover in EGP
Volume Spike Today's Volume > 2× Volume MA Identifies unusual activity
📋 Quick Reference Card
🟢 > 0.50% = High Intensity → Trade freely
🔵 0.10-0.30% = Healthy/Good → Optimal conditions
🟠 0.03-0.09% = Moderate → Size carefully
🔴 < 0.01% = Low/Stagnant → Avoid or limit orders
🟡 Yellow BG = Volume Spike → Momentum alert
Practical Example: Trading AMOC
Scenario
You're analysing AMOC (Alexandria Mineral Oils Company) on the daily timeframe:
Current Readings:
Liquidity Ratio: 1.80%
Line Colour: 🟢 Green (High Intensity)
Background: Transparent (no volume spike today)
Avg Trading Value: 95M EGP
Market Cap: ~5.2B EGP
Interpretation
🟢 Green Line (1.80%) — AMOC is experiencing exceptional liquidity (more than 3× the "High Intensity" threshold).
This indicates strong institutional or retail interest.
Transparent Background: While the liquidity ratio is excellent, today's volume is actually below average (95M vs 191M EGP average).
This suggests the high ratio is sustained by the stock's smaller market cap, not an explosive volume day.
Trading Decision The green signal confirms AMOC has sufficient liquidity for confident position sizing.
However, the lack of a volume spike suggests waiting for a yellow background confirmation before entering a momentum trade.
🎯 Best Practices
For Day Traders
Focus on Green + Yellow combinations for the highest probability momentum trades
Avoid Red stocks entirely, you'll face slippage and exit difficulties
For Swing Traders
Blue stocks offer the best risk/reward for multi-day holds
Use Orange stocks only for high-conviction setups with smaller position sizes
For Large Positions
Minimum Blue tier recommended for positions > 100K EGP
Orange and Red require breaking orders into smaller chunks
Market Cap Considerations
Small-Caps (< 1B EGP): Often show Green/Blue easily, verify with absolute EGP volume
Mid-Caps (1B–10B EGP): Blue/Orange range, best balance of liquidity and growth
Large-Caps (> 10B EGP): Often Orange, acceptable for stability, not momentum
🔔 Alert Conditions
The indicator includes two built-in alerts:
Alert Name Trigger Use Case
Volume Spike Detected Volume > 2× 21-day average Catch momentum early
Low Liquidity Warning Trading value drops below 5M EGP Exit illiquid positions before getting stuck
Skrip sumber terbuka
Dalam semangat TradingView sebenar, pencipta skrip ini telah menjadikannya sumber terbuka, jadi pedagang boleh menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupuan anda boleh menggunakan secara percuma, ingat bahawa penerbitan semula kod ini tertakluk kepada Peraturan Dalaman.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.
Skrip sumber terbuka
Dalam semangat TradingView sebenar, pencipta skrip ini telah menjadikannya sumber terbuka, jadi pedagang boleh menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupuan anda boleh menggunakan secara percuma, ingat bahawa penerbitan semula kod ini tertakluk kepada Peraturan Dalaman.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.