[sevensa]

Originally Posted by cmach123 »

I inserted Sevensa's VSA Indicator into Tradestation, it seem's the no supply, no deman bar are doing the opposite. If there's a no supply bar, the price should go up..but instead it decreases...

You should read the book again, as you do not appear to understand the basic definitions.

Or, if you blindly want to sell all no demand bars and buy all no supply bars, then you are just buying/selling randomly if you don't look at the background.

[VolumeJedi]

Originally Posted by cmach123 »

I have an example I would like to share, and I would like feed back in regards to the next day's instication of a buy. If you see in the attached files, this particular stock closed at $2.43, which is the same as the bars low.

In order for the next bar to be an indication of a buy:

1.) Does the next bar have to open below the previous bar's close; the high is higher than the previous days high, and the close has to be higher than the previous bars high and the volume has to be less than the volume on 8/28?

or

2.)Does the next bar's Low, and Open both have to below the the previous day's bar, and the high has to be lower the the previous day's high, and the close has to be higher than the previous close?

or
3.) Simply, tell me what to look out for...

There is no buy there. 1 bar back is a test. This test fails on the next bar as price trades lower on increasing volume. 5 bars back is a wide spread down bar on ultra high volume where some demand did enter. But that last bar made a lower low and closed lower than that bar.

Your best options are to do nothing and wait for a successful test. Or look for a narrow range up bar on volume less than the previous two bars to get short.

[cmach123]

Originally Posted by VolumeJedi »

There is no buy there. 1 bar back is a test. This test fails on the next bar as price trades lower on increasing volume. 5 bars back is a wide spread down bar on ultra high volume where some demand did enter. But that last bar made a lower low and closed lower than that bar.

Your best options are to do nothing and wait for a successful test. Or look for a narrow range up bar on volume less than the previous two bars to get short.

To go long, the next bar should be a wide spread up-bar, with volume greater than the previous two bars??

[flimbo]

Originally Posted by cmach123 »

To go long, the next bar should be a wide spread up-bar, with volume greater than the previous two bars??

When i first seen this Chart i noticed big Range area looks like distribution.
Whatever.
Wide bar Closing on the low with big volume pusshing thru old Support is sign of weakness I guess its SOW Principle 6.
You should wait for some kind of no demand . Also notice that on this picture, price is making Lower Lows and Lower Highs so Momentum is Down.

[chrisp]

This is my first post. I hope it will contribute to this thread.

I am looking at the big break down on ES 01 sept from a VSA point of view. I'm concerned with the question of defining stopping volume after a big move down.

60 MIN CHART
01 sept breakdown from balance on hi vol
heavy vol continues till 18:30 but this is not stopping vol: mkt continues down.

How do we interpret the price action from 18:30 01 sept on?
We start with the background:
the hi vol down bars thru to 18:30 are potential strength but mkt remains in a downtrend.
Conclusion: mkt remains weak.

15 MIN CHART

at EOD 01 sept there are 3 white diamond bars, which on this chart indicate higher than usual vol. The question here is "is pro money accumulating anticpating a rally or distributing anticipating continuing break?" Here is my analysis:
Bar 1 down bar increased vol narrow spread close off low and making lower lowverall weak altho' narrow spread suggests buying
Bar 2 down bar increased vol wide spread close well off low making lower low and rejecting move up: overall weak altho' close is well off low. Note also this is the third lower low.
Bar 3 1 tick away from equal close bar, vol decreases relative to previous bar but is still high for this time period, narrow spread, mid low, inside bar: overall neutral

So EOD high vol seems to confirm the weak background mentioned above. And yet: what is the result of this high volume down bar activity? Although lower lows are made the close of all three bars is practically unchanged. To confirm weakness we want to
see a down bar, increasing but not excessive vol, wide spread and close on the low.

02 sept
The first white diamond is up bar, high vol, wide spread, close in the top third. It looks like an effort to break out of the balance of the previous 4 bars. Is the high vol indicative of supply swamping demand? Let's look at the next bar. I will call this bar +1.
+1 up bar lower vol wide spread rejection of move higher close near the low and only 2 ticks above close of white diamond bar: overall supply is present.
+2 bar up increased vol wide spread close in top third but only 1 tick above close of previous bar: more supply coming in
+3 a test bar on decreased vol followed by an up bar but this is overwritten by the background weakness which seems to be confirmed by increasing supply and mkt remains in a downtrend on this TF. Note also that the vol is only slightly less than the first bar in the 3 white diamonds group to the left.
+4 this looks like a stop catching manouever, but I don't know much about this sort of thing yet: any enlightenment welcome!
Finally a second white diamond: up bar hi vol for the time period BUT decreasing volume relative to previous bar coming into previous top, average spread close near the hi: overall volume is too low to breach old top and mkt remains in downtrend.

For the rest of the day the mkt drifts lower with what look like a couple of upthrusts at EOD.

Overall I conclude that the mkt remains weak despite the heavy selling on 01 sept and that we have yet to see volume sufficient to stop the down move. However I also note that since then we have not yet seen the kind of wide spread down bar on increasing vol with close on the low that would confirm weakness. Neither am I able to explain why the 01 sept heavy vol down bars produced little downside move.

[zaprietas]

Hello everybody
Can any one share Better Volume indicator ?

[VolumeJedi]

Do a search. I believe it is in the coding forum.

[VolumeJedi]

Originally Posted by chrisp »

............ Neither am I able to explain why the 01 sept heavy vol down bars produced little downside move.

Welcome.

The high volume down bar marked 3 white diamonds is tested over the next 3 bars. Each bar has less volume as they close down. The third test is followed by an up bar and forms the second low of your channel.