MT5 10 min chart: Stopping volume or 2 bar reversal?
Gez
I believe it's a '2 bar reversal' following climactic action. With the 2 or 3 'No Demands' and a test which follow, a good entry should be found here.
........maybe
Trade Using VSA (Volume Spread Analysis)
- #5,721
- Mar 13, 2010 12:58pm Mar 13, 2010 12:58pm
- Joined Dec 2009 | Status: Trader | 2,367 Posts
I believe it's a '2 bar reversal' following climactic action. With the 2 or 3 'No Demands' and a test which follow, a good entry should be found here.
........maybe
- #5,722
- Mar 14, 2010 5:32am Mar 14, 2010 5:32am
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
Without VSA, you're playing checkers while the Smart Money plays chess.
- #5,726
- Mar 14, 2010 4:41pm Mar 14, 2010 4:41pm
- Joined Aug 2009 | Status: Reading the TAPE | 2,389 Posts
Without VSA, you're playing checkers while the Smart Money plays chess.
- #5,729
- Mar 15, 2010 6:02am Mar 15, 2010 6:02am
- Joined Dec 2009 | Status: Trader | 2,367 Posts
Looks like a 2 bar reversal. If it was stopping volume over 2 bars, the high volume should be on the first of the 2. Here the bar that reverses has the increased volume showing increased activity or interest in upside prices.
Either way you would be looking for a Test or No Supply bar for your entry.
AAARRRRGHGGGGGHHHHHH!!!!!!!!!!!
I've done it again
I keep calling them 'No Demands' when I mean 'No Supply'
It's not a problem with chart reading, it's just that I'm an idiot!!
Sorry for any confusion.
This is so obvious! To bad there aren't more of these easy trades! This is pure by the book!
"- The Buying Climax
Brief Definition: An imbalance of supply and demand causing a bull market to transform into a bear
market.
Explanation: If the volume is seen to be exceptionally high, accompanied by narrow spreads into new
high ground, you can be assured that this is a ‘buying climax’. It is called a buying climax because to create this phenomenon there has to be a huge demand for buying from the public, fund managers, banks and so on. It is into this buying frenzy, that syndicate traders and market-makers will dump their holdings, to such an extent that higher prices are now impossible. In the last phase of the buying climax, the market will be seen to close in the middle or high of the bar."
But in your picture the spread seems to be really wide for the bar marked as "buying climax"??
- #5,734
- Mar 15, 2010 3:43pm Mar 15, 2010 3:43pm
- Joined Nov 2009 | Status: Thx G, Malc, D55, Fontu & Hatch | 3,196 Posts
- #5,736
- Mar 15, 2010 4:15pm Mar 15, 2010 4:15pm
- Joined Nov 2009 | Status: Thx G, Malc, D55, Fontu & Hatch | 3,196 Posts
- #5,739
- Mar 15, 2010 5:27pm Mar 15, 2010 5:27pm
Here are the three trades I took during my job breaks today (too many breaks 
). The trades are based on VSA only and taken on mt4. I didnt have access to esignal at work so checked the Tradeguider signals later in the evening. Here are charts for the comparison.
I know its too many charts but I thought its useful to compare the three indicators - better volume (mt4), esignal+tradeguider and ninjatrader with VPA.
As I had no access to tradeguider while trading I took trades based only on better vol although my VSA knowledge is not good enough yet.
Using Mt4:
I got two losers early on. Finally managed to get a good trade for about 40 pips although now it looks like I entered the trade too early.
Using TG:
There was no buy signal on TG for the first buy and the second buy could have been avoided as the diamonds were red. Short entry would have been made at a "perfect time".
Ninjatrader and VPA:
Too many signals. But see how VWMA 20 is almost similar to diamonds from TG. Most of the false signals can be avoided if traded with the trend. I think there is potential in VPA and it could be second best to TG.
In summary, I think VSA is the way to trade. TG is useful although its way overpriced. Ninjatrader's VPA will do more good than bad. My TG demo will expire in 10 days. So during this time I will trade with Mt4 and ninja only and will compare the charts with TG later on to see how much difference it makes without TG.
Do let me know what you guys think?
). The trades are based on VSA only and taken on mt4. I didnt have access to esignal at work so checked the Tradeguider signals later in the evening. Here are charts for the comparison. I know its too many charts but I thought its useful to compare the three indicators - better volume (mt4), esignal+tradeguider and ninjatrader with VPA.
As I had no access to tradeguider while trading I took trades based only on better vol although my VSA knowledge is not good enough yet.
Using Mt4:
I got two losers early on. Finally managed to get a good trade for about 40 pips although now it looks like I entered the trade too early.
Using TG:
There was no buy signal on TG for the first buy and the second buy could have been avoided as the diamonds were red. Short entry would have been made at a "perfect time".
Ninjatrader and VPA:
Too many signals. But see how VWMA 20 is almost similar to diamonds from TG. Most of the false signals can be avoided if traded with the trend. I think there is potential in VPA and it could be second best to TG.
In summary, I think VSA is the way to trade. TG is useful although its way overpriced. Ninjatrader's VPA will do more good than bad. My TG demo will expire in 10 days. So during this time I will trade with Mt4 and ninja only and will compare the charts with TG later on to see how much difference it makes without TG.
Do let me know what you guys think?
