Disliked{quote} Thank you for the reply. That is logical, yes. But, what about the influence that other volume has on price change? For example: What if today only small traders are trading XRP/USDT in Bybit, but there is Big player on Binance. I assume, that the influence (effect) he will have on the (general) market will be present also on the Bybit exchange, but the volume on the Bybit will not show me the real reason why this move happened... So my analysis of the market will be wrong/not accurate. Or am I not seeing/interpreting something correctly?...Ignored
The data we read is based on time and sales coming out of a single exchange. Eyes are however watching all exchanges at the same time so if a big buy occurs in one exchange, many buyers will copy the same trade within a split second on other exchanges for a instant profit (to fast for the retail trader generally) so any big movement will be seen everywhere within half a second. If there is a delay between exchanges, it will be brief.
The bigger issue is data can be different between brokers due to lack of liquidity on each individual exchange. In fact only a few brokers have enough liquidity to be able to trade anyway so it’s best to only trade and trust the data out of a market that has at least $100,000 worth of sales in a minute.
The goal of a volume trader is to trade data and therefore a market that shows buyers are pushing up the market or sellers are pushing down the market. In other words, we want to trade markets with low absorption. Forex markets often are totally absorbed by bigger players making data ready incredibly difficult. I have said it once or twice before, GBPUSD is a nasty market to trade for volume traders, trading high volume crypto markets is like having sex on a park bench.
Its quick and satisfying and rewards are measured in the amount of effort required to put a smile on your face.
Trading thin liquidity at the boundary of the charts
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