FTB-C000625 / Evidence concept

Price-Bin versus Density Clustering

Price-Bin versus Density Clustering is the distinction between fixed price buckets and data-dependent density-connected clusters.

Advanced 1 linked topicEvidence-reviewed

Definitions

In plain terms

Bins assign by bucket edges; DBSCAN assigns by neighborhoods and connected density.

Technical

The selected method does not round prices into bins; it uses log-distance, epsilon, min_touches, and explicit noise.

Scope

Swapping methods changes level membership and must be represented as a variant, not a formatting choice.

Examples

  • A reviewer computes Price-Bin versus Density Clustering on a small deterministic fixture and checks timing, units, and boundary behavior before publication.

Common misconceptions

  • Swapping methods changes level membership and must be represented as a variant, not a formatting choice.

Concept relationships

Prerequisites

Related

Where this concept is used

Tutorials planned

These catalogued topics use this concept, but their complete build has not shipped yet.

  • D08-F01-A03 Important

Evidence and governance

  1. sklearn.cluster.DBSCAN scikit-learn · first party technical publication

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: The package implements deterministic one-dimensional DBSCAN directly for Python/TypeScript parity.

  2. Pine Script pivot techniques TradingView · official platform documentation

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: The package freezes its own equality, separation, and OHLC policies rather than claiming one universal pivot definition.

  3. numpy.log NumPy · first party technical publication

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: A log transform requires positive finite prices and does not by itself define a financial level.

Reviewed by
fintech-builder-batch-011
Last reviewed
2026-08-09
Next review
2027-08-09
Record status
evidence reviewed

This record is evidence-reviewed and readable, but not yet promoted to published — it is served noindex,follow and excluded from the sitemap.

Written by

Fintech engineer building market-data and financial systems, and the author of every article, glossary record, and reference implementation on The Fintech Builder.