ES Journal Archive (2006 - 2008)

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I like volume for the simple reason that it is additional information that is not captured by price. Just about every indicator you can slap on a screen, rsi, stochastics, momentum, is merely a clever (or not so clever) derivation of price. Volume provides additional information. You can use it or ignore it.
 
Short order sitting at 1485.75
Stop @ 1487.50
Going for 15+ points... I'm watching off a 10 min delayed chart, so you'll know before me if I get filled :p
 
1479 could be the high of the day. It corresponds with the 1 hr doji candle in USD/JPY. Also seeing negative MACD divergence on the 16807 volume bar chart.
 
Quote from Mins:

I don't actively trade it i am still relatively a newbie. Just can't fathom how volume can't be a vital tool for swing traders.
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Many traders like certainty, and analyzing volume patterns does not always provide that certainty. Sometimes the market goes up on low volume, and stays up. It would be easy for a trader to simply throw up her hands and say, "Volume is unreliable and hard to figure out; therefore, it is not worth my time."

Some traders are more left-brain in their analysis, and some are more right-brain, and some are pretty much both. Many are uncomfortable with discretionary trading, and volume analysis fits into that category.

Often the high and the low of the day are made on signficant volume (look at 1-minute charts). Often high volume signifies the end of an intraday trade. Yet if the market has been in congestion, I position myself to be on the right side of the order flow. On breakouts, I want to be where the volume is.

Are those approaches contradictory? No, because one can be both a fader and a trend follower!

I don't take offence at those who do not use volume. All I know is that volume is for my daytrading essential. I would not want to be on the wrong side of a move with significant volume behind it!
 
Quote from smilingsynic:

Many traders like certainty, and analyzing volume patterns does not always provide that certainty. Sometimes the market goes up on low volume, and stays up. It would be easy for a trader to simply throw up her hands and say, "Volume is unreliable and hard to figure out; therefore, it is not worth my time."

Some traders are more left-brain in their analysis, and some are more right-brain, and some are pretty much both. Many are uncomfortable with discretionary trading, and volume analysis fits into that category.

I don't take offence at those who do not use volume. All I know is that volume is for my daytrading essential. I would not want to be on the wrong side of a move with significant volume behind it!
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Thank for the explanation, as a discretionary trader it is vital to me. However, i can understand how someone following a system based on e.g. Moving averages would not consider it.

I wonder if Buy1Sell2 is a discretional trader or system based.
 
Looks like 1479 was the high of the day. Rule of 10 I guess. Then again, there is still afternoon session to stomach and it could very well turn out to be the famous and at this point highly unwelcome for my position: 10 + 10 by the time 4 o'clock strikes.
 
Quote from Spectre2007:

above
above
near weeks high
middle of monthly bar
above
up
up
long
no
yes

long bias into the close. sell stops 58
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day 2

above
above
near weeks high
middle of monthly bar
above
up
up
long
no
yes


......will be repeated 1:30pm
 
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