vsa with Malcolm

Hello , Does someone have Better Volume, RSX for MT5?

Hi fguru! Before all, Happy New Year!
About TG software, I purchased it last year. The software itself is quite simple(but it is great for its purpose) and the great features are
1. the signals' explanations
2. the possibility to scan markets by VSA signals.
The diamonds are a simple MA of 20. And you can figure out how the colors change, that is based where the bar closes in relation to the SMA. As for the signals, if you learn how to read it, you don't need the software, even because the explanation of each signal is in the MTM book and Gavin's second book, that he gives for free.
If you trade only spot forex, you are good with MT4 and the bettervolume indicator(if you open a demo account with Alpari, then you can have the emini ES, gold, Dow, etc.). If you have an account with any broker that supports NinjaTrader(like PFG), you can use NinjaTrader and its version of bettervolume as well(and you don't need to pay for data feed for forex and futures).
If you work with equities, your platform should have the volume for these markets.
That said, if you can afford the software, why not give a try on it? I think you receive 1 year of VSA Club.
By the way, the great thing about TradeGuider is that Tom Williams is there! :-) VSA was one of the 2 best things I met in my trading career.
Gaving is nice, but is strongly focused on sales(look at how many things he launched last year! He wants to sell everything that can have relation with VSA, what is fine from a sales perspective).

Sorry for the long text. If it is not clear, please let me know!

Cheers,
Joao Paulo

Thanks for your reply, joaoborras.

HAPPY NEW YEAR VSA FRIENDS AND FAMILY.

I posted this chart on another thread and got a couple of questions about it. The questions centered on entry and entry techniques, so I thought I would start the new year out here with a post of my hang-over induced musing on entries.

First, there may be more entries, or possible entries, then the ones to be discussed (labeled). This is just my take. Not Gospel.

A. This is a narrow range down bar that closes well off its low on volume less than the previous two intervals. It is a Test. I would not take this as an entry for two main reasons. 1. The volume whilst less than the previous two is still high. 2. The Climax interval alone is not enough "background" weakness for me at this point to get in.

If you are willing to enter here, then the entry technique is to place an order just above the high of this interval. The next interval would bring you in.

B. I am calling this the PIE entry. From a non-vsa point of view, we see a nice hammer followed by a true engulfing candle. I say true engulfing because the body of the next candle totally engulfs the body of the previous candle. Some people are a little loose on their engulfing definitions at times.

If you mix in some VSA, this is what you get. A Shake Out that comes after a sign of strength that is confirmed by the next interval being up. Couple that with the engulfing and it is very powerful. If I was to enter here, it would actually be as price moved down into the body of the engulfing candle. Notice this is different than what I was attempting to do after the Test.

*Please note most VSAers are not going to enter long on the Shake Out itself. Yes they are beautiful and look good after the fact. But they (at least the first one) are very aggressive entries and not for the faint of heart.

C. Squat. This is a narrow range interval that closes on its low on increasing volume. The short hand definition of a squat is an interval with a narrower range than the previous interval and on increasing volume from the previous interval. The location of this squat is ideal-This interval is back into the range of the Shake Out which is very telling. It is telling us that as price moves down it is being supported and that support is compressing the range. Well, what can be compressing the range? Demand. Demand in the very area that the BBs used to Shake Out the herd.

Another plus here is that this squat comes right after a down bar that had volume less than the previous two intervals. And we note that this No Supply type bar is coming on volume that is also less than average.

This is the first "entry" that gets my attention. I would place an order to enter just one pip above the high of this interval. I would not be brought into the market on the next interval.

D. That next interval turns out to be a Test. Now we have the first basic level VSA entry. The interval makes a lower low and not a higher high. It closes in the middle of its range-well off the low. And has volume that is both less than average and less than the previous two intervals. Again, we know exactly what is being tested: the volume on the Shake-Out. And to a lesser degree, the volume on the squat of the previous interval.

Again, the place to enter is on a breach of the high of this Test bar. Now if I had placed my order just above the high of the previous interval (the squat), I would now move it down to just above the high of this Test. Simply, the market is giving me a better price to get in.

The place to put your stop is just below the low of the Shake Out.

In this case I would be brought in on the next interval. But for our purposes, suppose I missed the entry completely.

E. This is a Test. It is a Test on increasing volume and an increasing range and as such may throw a few people off. Location is a big help. Again this interval is moving down into the range of the Shake Out-where there was once ultra high volume now there is much less. Now suppose this Test is recognized. The next interval does not make a higher high and thus would not bring you in. Not also that this next interval closes down. This means the Test has failed.

F. As a down interval after a Test, this interval is telling us that the Test has failed. However, note the volume on this interval. Not only is it less than the previous two intervals, it is the lowest volume in the last 20 intervals (grey). This makes the interval a sign of strength despite the fact that the Test has failed. Typically the next interval will be key. It will either close up on increasing volume confirming strength, or it will close down on increasing volume confirming the weakness of the failed Test. It could also close up on decreasing volume (No Demand) which would confirm the failed test as well.

But at this point we could still look to enter a long here. We have obvious signs of strength in the background and we have just seen a No Supply on the lowest volume we have seen in at least 20 intervals. So we could place an order to get long just above the high of this interval.

The market does give us an up interval on increasing volume, but the interval fails to make a higher high and thus would not bring us in.

This gets a bit tricky. Whilst the next bar was up confirming the No Supply, the range has narrowed as the volume has increased. This is a Squat. Because of this, I do not want to wait one more interval for my order to get hit. If you wait more than one interval, then G will bring you in. Again, we will assume that we were able to close our order prior to G hitting it.

G. Firstly, this is a strong interval. With the close well off its low on increasing volume we have to think it is strong. The fact that it makes both a higher high and a lower low is a bit confusing, but the strength is confirmed with the next interval up. Personally, I would not see this interval as an entry. It confirms the overall strength of the market but does not scream "get in now" to me.

H. This is a Test. To many, this is the Test. It is a narrow range down bar that closes well of its lows on volume that is less than the previous two intervals, less than average and less than the volume on the last 20 intervals. Let's take a look at location. We are again in the range of the Shake Out. We are in the range of the Wide spread demand interval (G). And after two consecutive up bars on decreasing volume, missed placed No Demands, we are into the range of both of those intervals. It is always good to ask yourself "what is being tested?", when you see a possible Test.

Place an order to get long just above the high of this Test interval. The next interval would bring you in.

*The low of the Shake Out is the best place to put your stop. If you want to be a bit more risk adverse, then just below the low of the demand bar would suffice also.

I. In truth, this interval should be bringing most traders in as it makes a higher high than the Test interval. Since it closes up, it also confirms the Test. On its own, however, this interval is a screaming "get long". It makes a higher high and a lower low than the previous interval. In fact, it makes a low that is lower than the previous two intervals. The close is not just higher than the previous close but higher than the previous high. As well as at the top of this interval's range. This is an Outside Key Reversal on increasing volume.
If I was not already in, then I would be getting in here. Unlike with a test, however, I would not place my entry just above the high of the OKR. Instead I would look for price to move down into the range of the OKR and enter there. SO in this case, I am getting long on the lower portion of the doji that follows the OKR.

Hope this helps. Comments are welcome.

Well , not Really .. Prices tried to move up right after the No supply bar printed @ F( making the higher high ) , but was quickly shot down for the same reason you have a Failed test @ E ( Excess supply). So now , they have to remove it . Picture a syringe drawing blood from a Vein - That's exactly what happened at G . G closing well off it's lows because of the underlying strength in the Background.

Then you have a retest @ H ( E's twin sister ) with the next bar closing up (this time around) indicating supply has been removed .


Happy New year ..

Hi, I would like to post a chart of cable, daily candles.
It is here: http://screencast.com/t/REwVfTsmf

My view is that we are in a possible accumulation phase, due to the reasons I put in the chart.
You can see that we have strength in the background, with a demand bar with high volume. Then, when the price come back into this area, it is with much less volume. Well, it can be due the holidays.
The last candle in the chart is a wide spread bar showing that demand is higher than supply at this level. We also had some stop loss sell orders hunting in the last shake out candle.
If it is real buying accumulation there, than we will see a breakout of the last range formed, that is quite big indeed.
What do you think? Welcome comments and critics!

Cheers!

I have to agree. I would not consider bar G to be strength. Although it closes off the low on increased vol indicating that there was buying, I would still consider the bar to be weak. The next bar I would also consider weak because the spread is 1/3 of the previous bar, the volume is the same and the close is on the low. I find it strange that the market moved up on lack of demand after bar G, however I agree that the OKR (bar I) that HiddenGap has pointed out would have been an excellent entry.

Great chart to start the new year off

I would consider the Interval G as a good example of strength just from where the bar is located with consideration for the background.

The SO has respected the SC and then a nice push up via the wide range body. The key for me personally would be that G has held the low of the WRB (orange line) and is within the body of the SO.

Very nice trade for those who caught it, even with the stop below the SO you had very acceptable RR.

Love the charts and Analysis Hiddengap. They always seem to give this thread a much needed Injection.

We will look into improving the P&F chart and will update you when that is done.

Thank you to Hidden Gap for, as usual, a great post with logical and fine detailed analysis.

I have been reflecting for a long time on making our posts more "user friendly" in a Forum environment. I have experimented with TIF, GIF, swf files, but none of them were satisfactory.

Finally, thanks to a great PDF Viewer called FOXIT I was able to add comments directly into a chart picture.

I have used HG,s chart post and I was blown away as to how readable his analysis is in this format, using "comments" in a PDF.

I have attached it here for you to explore. Hope it helps you as it did me.

OK, it is New Year, so I am going to be bold and see if I can post the PDF chart directly into the forum. Apologies in advance, if it does not work as I intended it. Enjoy.
(Click on the attached file; then in the next window "open with" ..(your PDF viewer in the browser list). Let me know if it does not work for you.

Got the pdf but the comments do not show for me.

Thanks for your efforts though.

Gez.

Hi Frank.
For me too, I can get the file but the comments does not comes up when I pass my mouse over the boxes.

Thanks a lot!
Joao Paulo

The comments work for me, make sure you hover over the letter and don't click.

Nice work Frank!

That would be great, thanks! Need any info let me know

I tried again in another computer but still don't work. And, yes, I do not click on the boxes, only hover on it.
What version of Adobe reader are you using?

Cheers,
Joao Paulo

I'm using Preview on Mac OSX Snow Leopard. I'll try on my windows machine tomorrow, it's shut down now!

Looks like Stopping Volume and a Shakeout on EUR/USD. Also, the bar before the Shakeout is squat, but with high volume. So maybe the buying already started on that bar? Looking for signs of reversal now. Patience.

1st STOPPING VOL make market sideways
2nd stopping vol make market sideways again
background it‘s Bear market looking for ND UT short。

nah.... I see plenty of selling pressure still