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Volume Spread Analysis (VSA) Discussion 2 replies

Volume Spread Analysis (VSA) and background 5 replies

What is the best VSA (Volume Spread Analysis) system/indicator? 1 reply

Volume Spread Analysis (VSA) and the EURUSD 3 replies

VSA Volume Spread Analysis: No demand and accumlation 2 replies

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Learn to Trade using VSA (Volume Spread Analysis)

  • #621
  • Mar 5, 2009 3:37pm Mar 5, 2009 3:37pm
Quoting nyse1982
goodness...I'm getting tired of robbing the forex piggybank...this is getting outrageous...
I'm loving the new Volume RSI..amazing tool..
  • #622
  • Mar 5, 2009 4:37pm Mar 5, 2009 4:37pm
Quoting nyse1982
EUR/[email protected] LONG

I recognized that candle 1 had a higher H/L & H/C and decrease in volume which speaks that strength is in the background waiting to buy up the pair. The spread has decreased by nearly 50% also. All strong clues that the pair has changed direction People the pairs kind of move in direction as the same conditions occured with USD/JPY and I went long also.
EUR/[email protected] LONG up 66 pips
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  • #623
  • Mar 5, 2009 4:43pm Mar 5, 2009 4:43pm
What were the specific signals from each of the indicators for determining the entry?

Quoting nyse1982
EUR/[email protected] LONG up 66 pips
  • #624
  • Edited 5:03pm Mar 5, 2009 4:53pm | Edited 5:03pm
Quoting eagle4x
What were the specific signals from each of the indicators for determining the entry?
I recognized that candle 1 had a higher H/L & H/C and decrease in volume which speaks that strength is in the background waiting to buy up the pair. The spread has decreased by nearly 50% also. All strong clues that the pair has changed direction People the pairs kind of move in direction as the same conditions occured with USD/JPY and I went long also.

Have you tried to place trade using vsa technique yet? Like we've all explained techniques,showed charts and examples...Are the members getting this or what? If people arent getting it please ask specifically what you aren't grasping? It's about recognizing imbalances in the market...It's about how green bars mean weakness as smart money is marking up and selling thier pairs. Like a rubberband as orders come in it stretches out wider. Know watching the spread and price volume thats letting you know how close the rubberband is to snapping..as the volume gets lower or decreases on the way up, it's saying that buying is starting to slow down...
  • #625
  • Mar 5, 2009 5:20pm Mar 5, 2009 5:20pm
Quoting nyse1982
I recognized that candle 1 had a higher H/L & H/C and decrease in volume which speaks that strength is in the background waiting to buy up the pair. The spread has decreased by nearly 50% also. All strong clues that the pair has changed direction People the pairs kind of move in direction as the same conditions occured with USD/JPY and I went long also.

Have you tried to place trade using vsa technique yet? Like we've all explained techniques,showed charts and examples...Are the members getting this or what? If people arent getting it...
How is your other method of 1/2 the volume @ 1/2 the timeframe going? Any Updates??
  • #626
  • Mar 5, 2009 5:30pm Mar 5, 2009 5:30pm
Quoting Gator
How is your other method of 1/2 the volume @ 1/2 the timeframe going? Any Updates??
im still trying to get someone to code it for me
  • #627
  • Mar 5, 2009 6:14pm Mar 5, 2009 6:14pm
This is a indicator I wrote for myself.

It has 4 states.
I believe that a price volume bar can have one of 4 states.

1. It can have increasing spread and decreasing volume. This means that price is moving without strong participation and can not be sustained. Due to the lack of participation, the price is ripe for a reversal.
This is displayed as a Magenta Diamond on that bar.

2. It can have increasing spread and increasing volume. This means there is wide participation and price should continue in this direction.
A red arrow shows the direction down when supply is overtaking demand.
A blue arrow shows direction up when demand is overtaking supply.

3. It can have decreasing spread and increasing volume, which means that the supply and the demand are temporarily stalemated. This is a warning that the direction move may be losing steam.
This is shown by a yellow x on that bar.

4. It can have decreasing spread and decreasing volume. This to me means that the bar has little participation from anyone and that the market is dull or congested. I do not show any indicator for this, because it does not portend any information other than dullness.

If you can use it feel free to do so. This is from my own style of volume trading and not strictly VSA per say.
Attached File(s)
File Type: mq4 CDRW.mq4   4 KB | 1,171 downloads
  • #628
  • Mar 5, 2009 6:23pm Mar 5, 2009 6:23pm
Quoting thatwasme
This is a indicator I wrote for myself.

It has 4 states.
I believe that a price volume bar can have one of 4 states.

1. It can have increasing spread and decreasing volume. This means that price is moving without strong participation and can not be sustained. Due to the lack of participation, the price is ripe for a reversal.
This is displayed as a Magenta Diamond on that bar.

2. It can have increasing spread and increasing volume. This means there is wide participation and price should continue in this direction.
A red arrow shows the...
I'm truly amazed!
  • #629
  • Mar 5, 2009 6:27pm Mar 5, 2009 6:27pm
Quoting nyse1982
I'm truly amazed!
I truly thank all the member participation, see how we were able to create our own Trade Guider Platform....
  • #630
  • Mar 5, 2009 6:28pm Mar 5, 2009 6:28pm
Quoting nyse1982
EUR/[email protected] LONG

I recognized that candle 1 had a higher H/L & H/C and decrease in volume which speaks that strength is in the background waiting to buy up the pair. The spread has decreased by nearly 50% also. All strong clues that the pair has changed direction People the pairs kind of move in direction as the same conditions occured with USD/JPY and I went long also.
My chart is different from yours...I think the interpretation would be different.
I have a mini account at IBFX.
I really need to do some more reading this weekend so I can get a better grasp of this.
GREAT THREAD, GREAT contributors and coders here also!!
Attached Image (click to enlarge)
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  • #631
  • Mar 5, 2009 6:36pm Mar 5, 2009 6:36pm
Quoting RickW00716
My chart is different from yours...I think the interpretation would be different.
I have a mini account at IBFX.
I really need to do some more reading this weekend so I can get a better grasp of this.
GREAT THREAD, GREAT contributors and coders here also!!
Hey Rick it was established early on that everyone's broker is going to show different tick volume, thats why your spreads will be different.
  • #632
  • Mar 5, 2009 6:42pm Mar 5, 2009 6:42pm
Quoting thatwasme
This is a indicator I wrote for myself.

It has 4 states.
I believe that a price volume bar can have one of 4 states.

1. It can have increasing spread and decreasing volume. This means that price is moving without strong participation and can not be sustained. Due to the lack of participation, the price is ripe for a reversal.
This is displayed as a Magenta Diamond on that bar.

2. It can have increasing spread and increasing volume. This means there is wide participation and price should continue in this direction.
A red arrow shows the...
In reference to #4 that means the pairs are trading in a range, so I don't think we need to show an indicator for that. As taken from Karthik Marmar>>
Accumulation is a process through which the SM acquires a large quantity of the stock at the lowest possible price.

Accumulation normally takes place in congestion areas. Congestion area are mostly sideways range bound movements where the stock appears to have no interest to either move up or move down.

The congestion areas are characterized by Indecision. One of the most important characters of congestion areas is the Low Volume. When most traders are bullish or bearish the volume is high. Low volumes indicate indecision among the traders on bullishness and bearishness.

page 3 paragraph 2-4
Attached File(s)
File Type: pdf VSA BASICS[1].pdf   665 KB | 470 downloads
  • #633
  • Mar 5, 2009 6:47pm Mar 5, 2009 6:47pm
annd yeah--still shorting the GBPJPY---the red vertical lines are my upthrust bars--5min chart started the move--and the one minute upthrust bar made sure the move continue--

You really have to basically stalk the "SMART-MONEY" like a freaking papparazzo and they will show you the money--ohh -they are the stars of the this show----

they will break any support or resistance line --if they have to--they are like freaking gangstars ..i don't think any indicator really exist that can get in as quick as these guys....
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  • #634
  • Mar 5, 2009 6:54pm Mar 5, 2009 6:54pm
Quoting taomql4
annd yeah--still shorting the GBPJPY---the red vertical lines are my upthrust bars--5min chart started the move--and the one minute upthrust bar made sure the move continue--

You really have to basically stalk the "SMART-MONEY" like a freaking papparazzo and they will show you the money--ohh -they are the stars of the this show----

they will break any support or resistance line --if they have to--they are like freaking gangstars ..i don't think any indicator really exist that can get in as quick as these guys....
I think I should rename this forum : WE RIDE COATTAILS!! HAHAHAHAHHA
No we really ride the coattails of smart money literally...
  • #635
  • Mar 5, 2009 7:01pm Mar 5, 2009 7:01pm
Quoting nyse1982
I think I should rename this forum : WE RIDE COATTAILS!! HAHAHAHAHHA
No we really ride the coattails of smart money literally...
For users following at home EUR/USD 4HR look at the weakness of volume on the upmove and H/L&H/C is weaker compared to previous bars...look for weakness on next bar...however it should be a weak move in that direction..
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  • #636
  • Mar 5, 2009 7:35pm Mar 5, 2009 7:35pm
nyse:
Attached is a 4hr usdcad and 4hr gbpjpy chart. I inserted an arrow 5 candles back on each chart:

usdcad: H/L and H/C increased, volume increased, and spread increased GT 50%. The price increased.

gbpjpy: H/L and H/C increased, volume increased, and spread increased GT 50%. The price decreased.

So, the signals were the same, but the price moved in different directions. Please explain.
Attached Image(s) (click to enlarge)
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Click to Enlarge Name: gbpjpy_4hr_vsa_030509_1010pm.gif Size: 54 KB
  • #637
  • Mar 5, 2009 8:50pm Mar 5, 2009 8:50pm
eagle4x,
if u look at those 2 charts, the reason is simple:
the 2 pairs are somehow inversely correlated, therefore the 1st pair is increasing, while the 2nd one is decreasing.
  • #638
  • Mar 5, 2009 9:04pm Mar 5, 2009 9:04pm
Quoting nyse1982
I think I should rename this forum : WE RIDE COATTAILS!! HAHAHAHAHHA
No we really ride the coattails of smart money literally...
I personally like my earlier post suggestion of "Shark Hunters" but "We Ride Coattails...then drink cocktails" sounds good too!
- Bowen (a.k.a. Wolf)
  • #639
  • Edited 11:10pm Mar 5, 2009 10:38pm | Edited 11:10pm
Quoting nyse1982
im still trying to get someone to code it for me
It's already underway and construction has begun but... you gotta answer your PM and emails from the architect so it will move along faster


Man, look at that markup run on EURUSD go!!!
- Bowen (a.k.a. Wolf)
  • #640
  • Mar 5, 2009 11:33pm Mar 5, 2009 11:33pm
Quoting BlackWolf
It's already underway and construction has begun but... you gotta answer your PM and emails from the architect so it will move along faster


Man, look at that markup run on EURUSD go!!!

Yeah - and an hour before the Frankfurters start too - I grabbed some of cable's run up and reversed at the 4275 level for the pull back to yesterday's high, now long again off that level to see if it can attack the 300 level....
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