Volume
- Thread starter accutrader
- Start date
Wack job
Look at that mess of a "chart", what a joke. Criminal
Look at that mess of a "chart", what a joke. Criminal
Quote from jack hershey:
________________________________________
Quote from accutrader:
I use range bars. A common scenario is as follows: An index will say be moving down. There will then be a bar that closes up with substantially higher than normal volume. The next bar will be a down bar at much the same price as the prior bar. The index will then continue down.
My interpretation is that the higher than normal volume on the one bar must be due to big money going short even though the bar closed up. Is my interpretation correct and, if so, how can big money control their entry so that they donât overpower the direction of the bar?
________________________________________
You entitled the thread "volume".
The V. P relationship is such that volume leads price.
In your display, you use, for your reasons constant volatility price bars and let Time and Volume follow this bar production scheme. Price has a fixed value for volatility and time and volume vary accordingly.
In most efforts people make, they use price variation to make money by using market orders that allow them to take profit segments as time passes.
As you see profit segments are price trends. Each segment has a beginning and an end.
For a beginner using your chart, he would use volume signals to make money trading price. The long trade is followed by a short trade is followed by a long trade.
Use volume to trade the constant volatility bars as follows:
the trade window opens on peak volume and closes on the volume trough.
Since you make constant volume bars a peak volume bar is the highest velocity of price transactions. Correspondingly, a trough volume bar is a minimum velocity of price transactions. These maxes and mins represent the way limits are reached in trending. As hard as the market tries it can go no further or with little effort the market makes a move.
The space in between these two times is the end of one trend and the beginning of another.
In the conventional P, V displays that have fixed durations for bars, one pattern exists. The above window mentioned is the part of the pattern from point 1 to the BO of the RTL.
A beginner trades what he observes and takes profits and reenters during this window.
The beginner's problem, however, is that he cannot see maximums and minimums in volume when they are occurring. In fact most traders cannot and therefore they do not use volume as a leading indicator of price.
Below this problem will be eliminated if a person is capable of following the text and then doing the required drills to build, in his mind, the tooling. Reading this post is meaningless except that it contains how to trade all day long in any market with liquidity. The three trades on the chart total two times the range so far in the day. Trading a few more times in the day increases the multiple for the daily profits.
It probably seems sloppy to have so much time to take profits and then reenter. It is just a fact that timing the markets does not require precision on the part of the trader.
Putting a few pieces together will make this level of trading a smooth operation for a person just beginning. Note some carpenters say they have 20 years experience when, in fact, they have repeated their first year 19 more times.
The drill is to DO what is suggested until it becomes automatic. A person becomes sensitive and he goes into a very coherent trading state. (use an EMwave pc to prove this to yourself as you do the drill over a few months. Here is an example of sensitivity. If an address has an east or west in it and a fuck off types it wrong, he gets the wrong picture of a house and those who know where my architect's studio is know it is not a picture of an architect's studio. We all laugh.
The Drill.
Upon open, draw three integral fractals of price and annotate the peaks and troughs of volume on all three fractals on the volume display. This is carpenter apprentice school.
As soon as possible in the day label points 1, 2, 3 and the FTT on each and every fractal.
After a few days, note the end of the day status on a debriefing log where the status is taken from the columns of the monitoring log. Begin the next day's annotations by continuing the order of events of the prior day.
Remove the gap, if any.
Only trade the signals of the middle fractal of the three fractals when the FTT begins the window and the BO of the RTL ends the window. As you learn, then trade sooner and @ the FTT instead of the BO.
The illustration just shows two fractals (by line weight). Notice the volume trough @ the BO of the RTL on this constant volatility chart. Notice before this occurs there is an FTT in price @ the peaking volume.
Final comment: Smart and big money is NOT observable on this chart. This is not debatable. Anyone who thinks they can see this on this chart is fucked up. There are 7 other places where what the smart or big money is doing are displayed.
To check out the single pattern of trends, read elsewhere. the long pattern is B2B 2R 2B; the short pattern is R2R 2B 2R. the chart in the illustration has the color coding all messed up so the pattern cannot be seen on this chart by color sensing. The peaks are @ B, B and B. The troughs are @ 2 (first one) and R for the long.
Don't worry if you cannot understand this post. the mind has to have inference to match the sensing to achieve perception. If there is no inference, then there is no perception. you are still a carpenter's apprentice and cannot see the market as yet. this thread is about a person asking how to begin to see the markets. Most people cannot see the markets.
Trading instills feelings of support, comfort and confidence. If a person is considering learning to trade and he is active, he may have feelings of anxiety. fear and anger. This is simply a symptom of what is going on; what is going on foir that person is learning repeated failure. It can lead to becoming OCD and posting information that is incorrect and inaccurate.
Volume: The Facts.
All traders should learn how volume affects price, without this knowledge of volume a trader will not fully appreciate the action of price.
Once a trader has become adept and proficient in the art of reading volume then the trader should no longer need to use it as a visual aid.
Price confirms volume.
Dackster said:
Volume: The Facts.
All traders should learn how volume affects price, without this knowledge of volume a trader will not fully appreciate the action of price.
Once a trader has become adept and proficient in the art of reading volume then the trader should no longer need to use it as a visual aid.
Price confirms volume.
Hi Dackster - Where would you have entered on the attached chart of TF #F from Friday? There was a high volume bar at 12:19:50 eastern. There was a head and shoulders, TF was moving into a triple break and 680.5 which was Wednesday's low.
Thanks
Volume: The Facts.
All traders should learn how volume affects price, without this knowledge of volume a trader will not fully appreciate the action of price.
Once a trader has become adept and proficient in the art of reading volume then the trader should no longer need to use it as a visual aid.
Price confirms volume.
Hi Dackster - Where would you have entered on the attached chart of TF #F from Friday? There was a high volume bar at 12:19:50 eastern. There was a head and shoulders, TF was moving into a triple break and 680.5 which was Wednesday's low.
Thanks
Well, a minor pullback in an uptrend doesn't really qualify as "significant", let alone "most significant" in 53 years (if that is actually what he said).
Much of what JH says seems to be pretty standard fare, but as Queen Gertrude said to Polonius in Hamlet, the general criticism has been...
"More matter with less a art."
Polonius:
Your noble son is mad:
Mad call I it, for to define true madness,
What is't but to be nothing else but mad?
But let that go.
Queen:
More matter with less art.
Polonius:
Madam, I swear I use no art at all
That he's mad, 'tis true, 'tis true 'tis pity,
And pity 'tis 'tis trueââ¬âa foolish figure,
But farewell it, for I will use no art.
Much of what JH says seems to be pretty standard fare, but as Queen Gertrude said to Polonius in Hamlet, the general criticism has been...
"More matter with less a art."
Polonius:
Your noble son is mad:
Mad call I it, for to define true madness,
What is't but to be nothing else but mad?
But let that go.
Queen:
More matter with less art.
Polonius:
Madam, I swear I use no art at all
That he's mad, 'tis true, 'tis true 'tis pity,
And pity 'tis 'tis trueââ¬âa foolish figure,
But farewell it, for I will use no art.