i saw this trade and passed up on it because it was back to back conflicting climaxes.
like commander said, for me an ideal volume trade, an A+ trade, is where there is a volume climax and the next bar goes opposite without hesitation and closes near the top of the climax price bar or atleast nearbouts the half of the volume price bar.
i will then go long or short at the break of this 2nd bar.
one another thing, climax does not mean only a reversal. it also means continuation.
i have taken 2 trades last week, which were continuation of a climax.for me for a continuation trade, the second price bar should close as a good full green or red bar in continuation of the climax bar and then i will take a break of this bar.
this second set up is not an A+ set up.
like commander said, for me an ideal volume trade, an A+ trade, is where there is a volume climax and the next bar goes opposite without hesitation and closes near the top of the climax price bar or atleast nearbouts the half of the volume price bar.
i will then go long or short at the break of this 2nd bar.
one another thing, climax does not mean only a reversal. it also means continuation.
i have taken 2 trades last week, which were continuation of a climax.for me for a continuation trade, the second price bar should close as a good full green or red bar in continuation of the climax bar and then i will take a break of this bar.
this second set up is not an A+ set up.
DislikedGuys i have attached a chart from this morning i think is a volume trade or possibly two?:
- Bar 1 is pushed on red bar through RN only to come straight back down again on bar 2 and closes under pivot, should this be a short?
- Or would we take bar 2 as the volume bar as its pushed down through the pivot on a white bar only to come back up on bar 3 and close above the pivot (entry at the top of bar 3?)
Your analysis will help me no end.
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