What does Candles control in volatility analysis?

The Candles setting determines how many recent candlesticks the Extreme Volatility Monitor analyzes to calculate average market movement and detect volatility events.

Example configuration:

Candles: 10

This means:

The system uses the last 10 candles to compute average price movement.
On a 1-minute timeframe, this equates to analyzing the last 10 minutes of price action.
On a 5-minute timeframe, it would analyze the last 50 minutes, and so on.

⚙️ How It Affects Volatility Detection

Shorter Candle Range (fewer candles)
- Detects rapid, short-term spikes or crashes
- More sensitive to sudden price swings
- May generate more alerts (including minor fluctuations)
Longer Candle Range (more candles)
- Smooths out noise
- Focuses on sustained volatility trends
- Fewer but more reliable alerts

🔍 Important Considerations

Changing the number of candles directly affects your thresholds:
- AverageMovementPercent
- AverageMovementEmergencyClose
If you adjust the candle count, you should re-test your threshold values to ensure alerts and emergency closes trigger as intended.
Example:
- 10 candles on 1m timeframe → last 10 minutes analyzed
- 20 candles on 1m timeframe → last 20 minutes analyzed → movement percentage over a longer window → may require adjusting AverageMovementPercent

🎯 Best Practice

For rapid intraday volatility monitoring → use shorter candle windows (5–15 candles on 1m)
For higher confidence, smoother signals → use longer candle windows (20–50 candles)
Always re-test thresholds after changing the candle count to ensure proper detection and avoid false signals

🚀 Summary

The Candles setting controls how many recent candlesticks the system uses to measure average movement:

Fewer candles → faster, sensitive alerts
More candles → slower, smoother alerts
Changing it requires recalibration of movement thresholds to maintain accurate volatility detection

It is the foundation of how the bot interprets rapid market movements.