That's what makes it a market.
Volume Charts
- Thread starter joseph135
- Start date
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Great idea, point + figure charts, i figure;
until barcharts, candlecharts, +mountain charts came along
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Yes,LovetheTrade, but lets use your charts, because my banker dad said ''dont tell everthing you know''
Click up a SPY 3 month, mountain [aka ,area]chart. NOW picture mountain peaks, on your mountain 3 month year chart; price volume draws like a candle,[ horizontal, not vertical candle]just like a grid nine on $242 area peaks/+, of most volume/price.
Since the crowd is wrong so much;
$242 volume candle/rectangle may not mean much- it could LOL
Just some suggestions on volume bar settings, if anyone uses them as well.
Yes, I use them, only for stock/ETF trades looking at only the indices. Volume price bars shows the he avg # of shares bought/sold in a simple visual display. This along with a few other market internals like charted up-down volume/adv-decl/new highs-lows/tick/VWAP all plotted one one chart gives me a good clue as to as to the strength or weakness of the market. It takes only a moment to look at.
Yes, I use them, only for stock/ETF trades looking at only the indices. Volume price bars shows the he avg # of shares bought/sold in a simple visual display. This along with a few other market internals like charted up-down volume/adv-decl/new highs-lows/tick/VWAP all plotted one one chart gives me a good clue as to as to the strength or weakness of the market. It takes only a moment to look at.
%% I meant ,horizontal rectangle[like a candle] , grid line [volume charts] not ''grid nine'' ,@ $242 area, SPY, 3 month charts%%
Yes,LovetheTrade, but lets use your charts, because my banker dad said ''dont tell everthing you know''
Click up a SPY 3 month, mountain [aka ,area]chart. NOW picture mountain peaks, on your mountain 3 month year chart; price volume draws like a candle,[ horizontal, not vertical candle]just like a grid nine on $242 area peaks/+, of most volume/price.
Since the crowd is wrong so much;
$242 volume candle/rectangle may not mean much- it could LOL
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L
lovethetrade
True, and the outcome would be abysmal for the systematic trader. I was already 99% certain i wouldn't use them before posting and was just looking for added visual confirmation. No doubt, volume-based charts could benefit the discretionary trader looking for a more simplified approach and whether this comes at an opportunity cost or not will depend largely on one's effectiveness with either approach.
Do you use multi-volume charts to make your trading decisions? (similar to multi-time-frame analysis)
What was the NDA for? (if you don't mind me asking). I thought you were the lone-wolf discretionary trader...
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For me, it was neither "more simplified" nor "less simplified": I did exactly the same things that I'd previously been doing from timed charts, but using volume charts instead, and found a small but significant and very steady improvement in win rates across the various trade entry set-ups I use.
A couple of people who were familiar with my trading had been encouraging me to do exactly that for a long time, but I was stubborn and took far longer to experiment, and to switch over, than I should have done. Unfortunately I'm very hard to teach and have to work everything out independently.
Maybe so, but that wasn't really my experience, as I was no more effective with either "approach". My "approach", in fact, didn't change at all - only the construction of the bars/candles from which I was trading, and the overall outcomes.
If you call two "multi" - yes. (Probably "bi-volume"?).
I was, when I first joined this forum. My "journey" has been in the opposite direction to that of a couple of people I know (who have been "institutional" but saved up their bonuses for a few years to use as trading capital to set themselves up as independent traders, as people sometimes do). I've actually done the reverse, in a sense, and now trade for a small hedge-fund. The changes in the way I trade have been surprisingly minimal.
The discussion is not as to additional volume analysis but the efficacy of volume based charts as opposed to time or transaction based.
And that's volume analysis. ---It should be discarded.