[VSA] Volume Spread Analysis

[Anonymous]

Market Phases:

In many ways the forex market is easier to trade as the signs and market phases are so clear, but VSA is for all timeframes and all markets.

[Sparrow]

Hi PP,

is that FX or FX futures, since there's only tick volume in FX?

[jjthetrader]

	Quote:	PivotProfiler
	Market Phases: In many ways the forex market is easier to trade as the signs and market phases are so clear, but VSA is for all timeframes and all markets.

Thanks for the chart PP. Is your Euro chart from last Friday? If it is, it's amazing how it's action mirrors the ES. You can see the same phases happening.

Do you actually make your trades from a 5 min chart on the Euro? If you do, what kind of a move are you looking for with strength or weakness appearing on it? I know on longer term charts weakness/strength will hang around longer but I'm just curious what size of moves you take on the 5 with Forex. I'm contemplating trading the Euro myself.

[gassah]

	Quote:	PivotProfiler
	Market Phases: In many ways the forex market is easier to trade as the signs and market phases are so clear, but VSA is for all timeframes and all markets.

Hi PP,

I'm curious as to why you have "accumulation" as it's coming down hard off the top of a daily range? Thanks.

nic

[JDNeeman]

I just want to make a question, i´m new here, so, i need an honest answer,...

is tradeguider worth buying?...

thanks for your asnwers...

[mister ed]

	Quote:	JDNeeman
	so, i need an honest answer,...

You will only get honest answers here - but remember everything you hear will be an opinion, not an answer. Some will say Yes to get it, some will say No, and each will have good reasons specific to him or herself.

You are going to have to decide for yourself. Why don't you read through this thread and you will get an idea of how and how not TG may or may not be useful to you. After that, my understanding is the firm offers a 30-day money back guarantee. Without commenting on the software this seems to be a most generous offer that should allow you to make a well-informed decision.

[Anonymous]

	Quote:	gassah
	Hi PP, I'm curious as to why you have "accumulation" as it's coming down hard off the top of a daily range? Thanks. nic

I was wrong.

Clearly demand entered and pushed prices sideways. I was thinking (my first mistake) that since it's a U.S. holiday today, they would try and push the price up as they are oft to do on a holiday. Not to mention that this was Friday and I thought (there I go thinking again ), that people were squaring positions for the weekend.

[Anonymous]

Many people want to pick tops and bottoms. Volume Spread Analysis can help with that. But a safer way to trade is to pay attention to CONTINUATION trades. That is, trades with the dominant trend.

This uses two time frames and jumps from on to the other. I call the 15 min the trend frame and the 5 min the trade frame. We are looking left, to trade right.

A: We see a Test prior to the London open. I consider the London open 0200 hrs. Note the increase in volume at the 0200 bar.

B: At 0220 we see a No Demand on the 5 min. Note enough evidence for me to enter short, but if you're super aggressive........

C: No Demand at 0230 on 15 min. We can see that the trend is down. We can see many up bars on low volume in the background. We should be predisposed to the short side. Note also that there have been bars with lower lows than the Test bar. Supply still in the market.

D: WRB. WRBs are about the range from open to close. In other words, candles are not necessary to see them. WRBs signify possible shifts in the supply/demand dynamics in the market, and set up our Support/Resistance Zone where we would like to find entry points.

E: No Demand. Unfortunately, for me, this bar trades outside of the body of the WRB so it is not an entry signal. However, the previous bar, which was also an effort to fall has a No Demand on the next bar. Further showing the weakness in the market.

F: BINGO. UpThrust within the body of our WRB. At 0320 we have a valid entry signal with background weakness on both the 5 min chart and the 15 min trend chart.

Initial stop is just above the high of the WRB. The stop is then moved to just above the high of another WRB. Then we get a No Demand bar. The stop is moved to just above this bar. This level is the same level as the UpThrust which does not take us out, but does remain the stop level.

THE TREND IS YOUR FRIEND.

[Anonymous]

quick shot:

Notice the No Demand at Yesterday's (Friday's) low. Clearly trading outside of the Value Area.

[Sledge]

Question is with the GBP/USD:
All indications seem to point at a market reversal to bull. Last week was stellar in taking longs- I honestly thought the bear run was over until the retrace came below the 1.9482 1/11/08 Low last night. I'm using VSA as well as using the COT Index as a background confirmation. I just watched the webcast on Tradeguider.com from the 17th and even the hosts were calling GBP Long--as long as the test was not on Ultra High Volume- My frustration lies in the fact that this damn thing keeps falling. Last night (This Morning) Monday AM London session seemed perfectly placed to be the turn and I fully expected a nice upward turn last evening (London)- But to no avail.

Anyone have any light to shed on this- just doesn't seem it could possibly fall any lower than it is.

My only caveat is that the COT Commercial is at 96.19 (Down from 100 two weeks ago) and Specs are at 4.36 (Up from 0.00 two weeks ago) I'm unsure if anyone here uses the COT Index in tandem with their VSA or not- but my hunch is that the "Smart Money" would like to see the Specs get BACK to or as near to 0.00 as they can before the turn (Thus they would have to dupe the herd into a rash of shorts)

Any insight here? I'd also like to talk with people who do use COT Index in tandem with their VSA as well. Most appreciated.
Sledge