What is your way of identifying trend reversals?

This is not in support of sales people advertising their products.
I use volume based charts, which are a great way of
identifying trend reversals.

As an illustration every BLUE DOT on this volume based chart
is a signal for a reversal.

Works for me.

View attachment 322718
Ever watched the zigzag indicator? If you watch him he also gives high and low points. But the problem is that these points are only final a few bars afterwards. So on the chart they loook good, but in reality they are only visible several bars afterwards because the indicator needs futur data to calculate. It is "hindsight" trading, but not visible at the moment where it finally indicates the top or bottom. Watch the chart and how the two last bars have not yet any value for the zigzag. They will pop up later and start from the last point of the already shown zigzag.

zigzag.jpg
 
Last edited:
The volume-based price action method is an approach to identifying reliable trend reversals in financial markets, and it distinguishes itself from other methods in several ways.

This method relies on analyzing both price movements and trading volumes to gain insights into market sentiment and potential trend reversals. Here are some key aspects that make it special:
  • Volume-Centric Approach
Unlike other methods that focus solely on price movements, the volume-based price action method gives priority to volume as a central factor within the price action framework. It acknowledges that price alone might not tell the full story, and volume provides critical insights into market dynamics.
  • Reliable Entry Points
By combining volume analysis with price action, this method allows you to pinpoint highly reliable entry points. It doesn't solely rely on generic trendlines or patterns but uses volume data to confirm potential trend reversals.
  • Optimized Risk-Reward Ratios
The method doesn't focus on signaling short-term price reversals. Instead, it specializes in identifying trend reversals, which signify substantial and longer-term shifts in price direction, ultimately providing you with a favorable risk-to-reward ratio.
  • Data-Driven Decision Making
The volume-based price action method promotes data-driven decision-making, reducing the influence of emotions or speculative trading. You can rely on concrete volume data to make informed choices.
  • High rewards
With the ability to spot trend reversals EARLY, the method enables you to seize trading opportunities for substantial gains.

If you are also keen on this trading method, you can check out our Deliberate AnaCute Trading package, which will help you apply volume-based price action analysis and make more informed trading decisions.
Sounds good!

So can we see your research and the #s behind your analysis to how you came to your conclusion? I mean, it would be helpful to see that ya know.

I know this won't get a reply but I just came here to troll.

Good luck selling shovels to the gold rush.

So tired of seeing this BS.
 
Trend reversals, looking for range expansion & big volume in the opposite direction, after a symbol has made an extended move.

This was an earnings driven break away gap that triggered a 379% move.

upload_2023-9-9_10-24-57.png
 
Last edited:
Guys, I do trade reversals a lot, and regardless of how you spot reversals, whether by using pure PA, or price patterns, or even the "magic" nin.ZA.co’s indicator, from my experience, it is better not to mess around with reversals which develop in 'no man’s zone''.

What I’d suggest is to first mark-up a high probability zones (levels) where the reversal might occur by using one or more of the leading tools such as S/R, fib clusters or median lines, etc, and then trade the reversal ONLY if your reversal signal occurs at such high probability zone.

This increases your win-rate quite a lot (if you learn how to identify those levels/zones), and the R/R is usually phenomenal (multiple Reward to Risk).

However, reversals on their own in the middle of ‘no-man’s zone” require more advanced PA analysis and are lower probability, low R/R, and are better to be left alone.
 
Back
Top