Summa indicator
Summa is the proprietary indicator in the lower panel of the Gaudio Indicator page. It describes the state of market volatility, and its purpose is to tell you whether volatility is confirming or contradicting what price is doing.
The base rule
Section titled “The base rule”The principle to keep in mind is simple:
The market rises with volatility (Summa) falling, and falls with volatility (Summa) rising.
That is the normal relationship. When it holds, price and volatility are telling the same story and there is nothing to flag.
What a divergence looks like
Section titled “What a divergence looks like”When the relationship does not hold, you have a divergence — a possible early signal of a change in price behaviour. Two examples:
- the market is falling but Summa is not rising as it should — the decline is not being paid for in volatility;
- the market is rising and Summa is rising too — the advance is being accompanied by increasing uncertainty rather than decreasing it.
Identifying the divergence early is what makes it useful: it is a warning that the current move may not continue in the way price alone suggests.
Where to see it
Section titled “Where to see it”Summa is the lower panel of the Gaudio Indicator page, and it follows the symbol selected there — ES or NQ. It can be shown or hidden from the Show Charts control in the chart toolbar, alongside the Price and Volume panels.
Because the panels share the same time axis, the practical way to read a divergence is to keep Price, Volume and Summa all visible and compare the same moment across the three.
How to use it
Section titled “How to use it”Summa is context, not a trigger. Two situations where the context changes the read materially:
- A market maker level being tested. A break of the resistance with Summa falling reads differently from the same break with Summa rising.
- A trend day losing momentum. Price still making new extremes while Summa stops confirming is the classic setup this panel exists to surface.
Common mistakes
Section titled “Common mistakes”- Using Summa as a directional signal. It is a volatility read; the signal is the relationship with price, not the level.
- Reading it without the price panel. A divergence is by definition a comparison; the panel alone says little.
- Expecting a divergence to resolve immediately. It flags a condition, not a timing.
Frequently asked questions
What is the Summa indicator in Gaudio OTT?
Summa is the proprietary indicator in the lower panel of the Gaudio Indicator page. It describes the current state of market volatility and is used to check whether volatility is confirming or contradicting what price is doing.
What is the base rule for reading Summa?
The market normally rises with volatility, and therefore Summa, falling, and falls with volatility rising. When that relationship holds, price and volatility agree.
What does a Summa divergence mean?
A divergence is when the normal relationship breaks: for example the market falls but Summa does not rise as it should. It is a possible early signal that price behaviour is about to change, and it is a warning rather than a trigger.
Where do I find Summa in the app?
In the lower panel of the Gaudio Indicator page, following the symbol selected there, ES or NQ. It can be shown or hidden with the Show Charts control in the chart toolbar.
Which plans include Summa?
Premium and Ultra, since it is part of the Gaudio Indicator page.
Related pages
Section titled “Related pages”Ready to use Gaudio OTT?
Section titled “Ready to use Gaudio OTT?”Open your free account and put what you just read into practice.