DislikedPraveensuri, welcome to my thread. Lets start with question #1. I don't trade as much with a limit order as I did in the past. Limit orders are great for the part-time trader who works a regular 9-5 job. Most good Supply/Demand traders will place their orders at a zone before leaving for work. Limit orders will also reduce slippage when trading the spot forex. It does ensure a good win percentage if you are right with your call.
[color=blue]Unfortunately you have no idea what the intentions of the institutions will be when...Ignored
Interesting comment Rocky:
Correct me if I am wrong here but the one advantage that we may have is VSA, as it relate to PA. The institutions, I would think, would be hard presses to hide their volume. It is what happens when the move into the market. They will not stop trading size which is what creates the volume. Learning VSA gives us to look behind the curtain.
I think the stop is definitely something they will do. As they have deeper pockets they are able to push price well past these levels. Just building a larger position if you will. But I see an inherent problem with that for the institutions. PA will reflect such additional moves deeper into the area by creating more spikes, pin bars, reversal bars. This will become obvious to the traders who can come in with a MO. Disadvantageous to the Pending Order trader. Their intention is to take it up or down at some point. VSA will show the slowing of price (no follow through). I would think they are unable to get away from that no matter what they do.
I know that large Option trades in stock can be spread across multiple exchanges masking the Smart Monies positions to some degree. But, there are those who have developed a way in which they can see that too.
This is where I think trading the CME (single data stream) vs. Spot Forex (multi data stream) has the advantage. The Forex broker almost acts like their own exchange. One could argue that the more and more Forex brokers push the orders out into a larger pool the more the volume will stabilize giving us a better look at what the bigger players are up to.. That may still be a long way off..??
Good stuff as always
thanks Rocky
TSD