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ubetido

VSA for Confirmation Entry and Exit

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Hi all

 

I am in Australia and mainly trade the ASX. I have been reading with interest the VSA thread.

 

Just a few questions if someone would respond please:

 

Can VSA be used on a Daily chart or is it predominantly for Intraday like 5 min or 1 min charts.

 

Is it a good tool for entry and exit points by this i mean are there certain signal that confirm a change in direction.

 

I don't short mainly look for stocks that go north.

 

I tend to stick to stocks between .01c to $3

 

These question may have already been answered i may have missed them (alot to read)..lol a link would be good.

 

Cheers

Ubetido

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Hi Ubetido

 

The ideas and principles of the analysis can be applied to daily charts as well as intra-day. Unfortunately there isn't really a shortcut I can point you to, its a matter of studying to learn to recognise entry and exit points. The two VSA threads will be a great benefit, but also have a look at the Master the Markets book (link to free PDFs of the book are found through the threads and elsewhere on this site). The Wyckoff area of the forum may also be helpful to you.

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Ubetido,

 

You would be far better first imbibing the principles of price/vol relationships via Wyckoff, then moving into VSA, that way you will have the horse before the cart;) keeping in mind that VSA has been derived from original Wyckoff material which incidentally focussed on daily charts only. However the laws of supply/demand, effort/result, cause/effect are absolute and operate in intraday futures markets.

Ofcourse the choice is yours

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Ubetido,

 

You would be far better first imbibing the principles of price/vol relationships via Wyckoff, then moving into VSA, that way you will have the horse before the cart;) keeping in mind that VSA has been derived from original Wyckoff material which incidentally focussed on daily charts only. However the laws of supply/demand, effort/result, cause/effect are absolute and operate in intraday futures markets.

Ofcourse the choice is yours

 

I'm not sure Wyckoff focused on daily charts only. Although Section 7 of the original course is about determining the trend by the daily vertical chart, he did write the "Day Trader's Bible" (provided here) and he notable said that a true tape reader day trader doesn't hold overnight.

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I'm not sure Wyckoff focused on daily charts only.

 

That's right FW - there is a pdf attachment (The Tape Reading Chart) in this post where Wyckoff described an intra-day entry, it includes an intra-day chart on the last page of the attachment.

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Hi all

 

Thanks for your replies greatly appreciated. I guess i am looking to validate this as an accurate measure of entry for the way i trade and exit.

 

The reason i say this is that i looked at some video here whereby it was live and the person called it wrong more time than correct which raised alarm bells to me. ? Called professional money entering when it closed on the downside of the bar etc.

 

When he mentioned it weak it went up and vice versa.

 

This then registered to me that perhaps and only perhaps live is alot more difficult than looking at a EOD chart and saying yes weak here bar up here etc etc.

 

The way i trade is that i only look and focus on one or two stocks and wait till i reckon its entry time. I buy many many shares in only one of them then wait and take my profit. So it is important to myself to get it reasonably correct

 

I did try to apply some of the material i read but based on some past charts and time i still couldn't say yes buy here or exit there

 

I only use one or two indicators in my trading and was looking if this would assist it.

 

It is probably that i can't see what you experienced folk can see.

 

Cheers

U

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Once you would do well do study Wyckoff first and then move into VSA, check out Dbphoenix forum on Wyckoff ,

 

Here are some pearls of wisdom from there:

 

"From a practical standpoint, it really doesn't matter who is moving price or why they're doing it. What matters is that price is moving. The key to profiting from that movement has less to do with how and why and who than with being attuned to the relative strengths of the buying and selling waves as they relate to previous buying and selling waves, i.e., support and resistance. Allowing oneself to become enmeshed in the who and the why does nothing but add another layer of unnecessary and irrelevant complexity.

 

Volume has to do with trading activity. Supply and demand have to do with price movement (unless price doesn't move at all, in which case supply and demand are balanced. Price can move substantially on practically no "volume" at all. It can also sit there buffing its nails while tons of trading activity is going on in the background."

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This then registered to me that perhaps and only perhaps live is alot more difficult than looking at a EOD chart and saying yes weak here bar up here etc etc.

 

Very true. Listen to those bells of yours. :)

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Hi again

 

Thanks again and great forum you have here lots of reading and open and diverse people with their own opinions on trading from all over the world.

 

Volume/price movement/support resistance/trade frequency/market depth. Once these line up it can't get any better than this. IMO

 

cheers

Ubetido :did I say that?:

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