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Old 03-14-2007, 03:08 PM
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Re: [VSA] Volume Spread Analysis

And I think the biggest thing that I took off that webinar yesterday...and I'm sure most people already do this but I didn't...was using VSA on a larger time frame to determine short term bias. Today the first 30 minute bar was a long legged doji. Not taking the open into account...we had a fairly wide range (definitely wider than premarket) with big volume (very big in comparison to the past few days' first 30 minute bar) and closed in the lower half of the spread.

I assume this would shout out to have a short term bearish bias. What they did was say...filter out any trades against your bias. WOW! Like a miracle to my ears right there. I hadn't ever done that. Just taken what looked good at the moment. Then today around 12:45 we had a MAJOR reversal. HUGE volume on a down bar with positive delta...thats something to take note of for sure. Bias switched to long at that point.

That was a big thing for me to learn. Very big thing...

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