Trade Using VSA (Volume Spread Analysis)

Blue looks like an up bar, Red looks like a down bar and the orangey/pinky bar looks like volume less than the previous bar.

I think the blue line is the EMA of 5 volume bar.

Hi guys,
Can anyone explain to me philosophy behind this indicators:

VSATickDifferenceSignals&Divergence
VSA Spread&WickHistogram
VSA RSX BARS
VSA Teacher Volume v034

I have some idea how it works, but I'm not sure in general.
Please help,
Thx,
Seb

I developed the Volume Teacher indi for several reasons to help traders...

it was indtended to demonstrate a realistic look at voume over an extended period of time and to provide a visul on what can be called 'Low" 'Normal' 'High' & 'Ultra high volumes. It was also intened to make it easier for a new student to grasp volume visually in relation to the past. By proviiding these eaily recognizeable zones on their charts the student can easily see where the various volme zones are and use those to trade. In addition it teacches the relationships of high, ultrahigh, low and no demand and reinforces the concept of previous bars in making a trading decision.

chief1oar

My thoughts go out to our clients and friends and to all of those affected by the earthquake in Japan.

Can someone tell me how VSA can be used with MT4 when you have limited volume data ?

Todd Krueger did a video discussing traded volume and tick volume that might help you...
Tick Volume Activity

Sure, I understand that but he was comparing Traded Volume from ONE ENTIRE exchange market to Tick Volume for the same market (ES,SPY etc). He then made the erroneous assumption you could do the same with FX where there are effectively MANY exchanges that are independent from one another.

That was a poor assumption. It's my belief that you cannot assume that just because your price feed suggests there was a lot of activity (Tick Volume) with your single broker, that there was high activity throughout the market. VSA is reliant on that fact.

Don't get me wrong, I know Tom Williams and love VSA but I don't think its appropriate to use with FX without some sort of aggregated price/volume feed. What you get with MT4 currently is unlikely to give you the depth and breadth you need to understand accurately what is going on. I'm sure there are plenty who are making it work but then if you know anything about randomness you'll understand there will be people out there that can make coin tossing based predictions work too.

If you need that degree of volume accuracy, I doubt that MT4 is going to do that for you. But is an aggregate tick feed good enough? Should currency futures with traded volume be used instead?

An interesting test for SMART would be to compare the charts over multiple brokers to see if the results vary significantly.

If you want good volume readings just use futures. You can get a free account from strattegy runner they usually last about a week before you have to get a new one.

It's been a long time since I've upated here on SMART stuff since most people follow us in other places, for those that don't...

We are fast approaching our goal of licensed SMART installations (Cheers) and will likely be stopping sales to focus on finishing the porting to a stand alone version (a free upgrade to existing clients) at that point.

The stand alone will likely be priced much higher than our current version so your chances to own it on the cheap are evaporating. Nothing is etched in stone in terms of pricing but most SMART users report recouping their money very quickly (usually within days) and after nearly a year of sales we have only had 6 refund requests which I think is a fitting testament to how worthwhile a bump in the price of the software is.

On a somewhat related note...
I wanted to share a testimonial from a customer of ours who set out to compare our software to TG. I nearly spit my drink when I read his findings among his otherwise straight forward email about porting to other platforms.


Thanks for the laugh Jim.

Good luck trading and see you in the chat.

DO these candle sticks indicate Hidden Buying ?

perfect signals of signs of weakness

30 min spinning rowboat

15 min no demand after spinning rowboat

i am looking for BreakOut Box strategy as outlined by WallSt. I got a indicator base on Breakout strategy by WallSt but i don't know how to use. Is any help me to find any resouce about Breakout strategy of WallSt so that i can use that indicator

buying for an up move in Europe Session

this is an interesting way to clearly see hidden buying and selling:

Sheesh. That's not clear at all. That's just showing a shorter time frame's ticks and mapping it out on a current time frame bar. I think anyway. In any case the way SMART displays it seems a bit easier to see in my opinion wouldn't you agree?:

http://posterous.com/getfile/files.p...den-buying.png

This candle bar shows a good sign of hidden buying in the strong background

Kamis that is not hidden buying. Pop in the chat and pm me and I can point you to some good resources on how to identify and trade them.

Our new HVZ, VSR, and POC Suite in testing on ES.


http://goo.gl/BwB3E

Good luck trading and see you in the chat.