Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

TinGull

[VSA] Volume Spread Analysis Part I

Recommended Posts

The prices could be marked down to 31.6 levels, if the vol. is low, then that would be testing for supply as there is buying pressure in the background indicated by that red bozo on high vol. In that case the prices could rise,

however if prices approach the low of that bozo which is a support level with vol. then it will break it to the downside. Those are the possible scenarios with the info. in front. Should be ready to play it eitherway.

Share this post


Link to post
Share on other sites
The prices could be marked down to 31.6 levels, if the vol. is low, then that would be testing for supply as there is buying pressure in the background indicated by that red bozo on high vol. In that case the prices could rise,

however if prices approach the low of that bozo which is a support level with vol. then it will break it to the downside. Those are the possible scenarios with the info. in front. Should be ready to play it eitherway.

What is a Bozo?

Share this post


Link to post
Share on other sites

Just started on a VSA book.....awesome so far. Right in line with what I am using any way...awesome stuff. Great way to amplify the information I am viewing as it is.

Share this post


Link to post
Share on other sites
What is a Bozo?

 

Hi Ranj,

 

Bozo refers to a Marubozu (sometimes spelt Marubozo) candle, basically candle with very minimal shadows, or no shadows at all. I am sure someone will be along with an even more detailed description, but this is the gist of it.

 

If you Google Marubozu or Marubozo, there is more info out there, I found some at :

 

http://www.streetauthority.com/terms/m/marubozucandle.asp

and at

http://www.iqc.com/101/candle_marubozu.asp

Share this post


Link to post
Share on other sites
Just started on a VSA book.....awesome so far. Right in line with what I am using any way...awesome stuff. Great way to amplify the information I am viewing as it is.

 

Is that an ebook...could you PM me with a link to find it cause when I google it I get lots of BS sites it seems. I'm interested in VSA, are there any other books you guys would recommend?

 

Thanks

Share this post


Link to post
Share on other sites
Is that an ebook...could you PM me with a link to find it cause when I google it I get lots of BS sites it seems. I'm interested in VSA, are there any other books you guys would recommend?

 

Thanks

You could try this, got it from Tradeguider, :

 

Our Master the Markets eBook is security protected through Virtual Vault. When you click the link below a page will open asking you to enter your email address. Enter this and click the "submit" button.

 

You will then begin the download process. When prompted chose the "SAVE" option. You will be asked to save the program to your hard drive, so chose a folder you would like to store it in.

 

Happy Reading and Welcome to the

TradeGuider Trading Community.

 

Click Here to continue the download process

 

or email: richardb@tradeguider.com

 

Get hold of the BootCamp CD, it will provide visual illustration of all that is in the book and take your understanding of VSA to a different level.

 

This then arms you with the knowledge of how the markets are driven soley by supply/demand, you may have heard this cliche' a zillion times, but the way supply and demand works is exactly opposite to what we have been led to believe, the general public is totally oblivious of the manipulation that goes on.

However this knowledge has then to be translated into strategies and tactics, i.e to identify setups for entry/exit, trade management.

There are basically only 7-8 principles which govern supply/demand.

Vadym Graifer's book "Techniques of Tape Reading" in conjunction with that of Marcel Link "High Probability Trading" will help you do just that.

 

From there on it is just the question of focussing on a couple of setups, defining the rules, then applying them on a consistent basis with discipline and stop the search for any holy grail, indicators etc, Keep it Simple

Hope this helps

Share this post


Link to post
Share on other sites

Here is a classic example of shake out,

 

1. 30MIN: Notice the last few red bars during the decline on heavy volume , then an inside narrow bar on reduced vol, now comes the test on a downbar where the cursor is prior to markup of nearly 40pt in 1hr (1000euros on 1 contract

 

2. 5MIN: note the test on low vol

 

3. 2MIN: Now to finesse the entry we know the smart money has absorbed the selling, however when are they ready to move up. The prices are marked down following by a rapid up bar, stops hit, people shaken out of the market, rapid mark up ensures shorts are trapped, buyers unwilling to participate etc, classic manipulation of the market, no indicators just pure tape reading, Volume Spread Analysis (VSA)

 

4. Often the market is marked further down than the previous high vol. level, with dragonfly candles appearing indicating shakeouts, followed by rapid rises , achieves the same purpose: classic money making maneuvers by the smart money

5aa70e123297b_DAX30MIN.GIF.f30c04204be16aedd7d4f838b997e91f.GIF

5aa70e12358e7_DAX5MIN.GIF.da3d3b2c63c08521196ffe3617ee1f64.GIF

5aa70e1237ea7_DAX2MIN.GIF.5fb878785390909d0048f2a0fda1aa36.GIF

Share this post


Link to post
Share on other sites

BTW

I am not in any way connected with Tradeguider , infact I am of the opinion that you do not require their expensive software to work with VSA methodology, all that is needed is a charting package and datafeed which can plot vol.

Share this post


Link to post
Share on other sites

I wouldn't say volume was light, especially on options expiry. That's the big variable in todays action...the options volume that happened. I know looking at some things like the Diamonds and Spyders the volume surged ahead 3x what it was yesterday. Looks like there could be a bit more downside to go.

Share this post


Link to post
Share on other sites

Hello TinGul,

 

Thanks for the input.

 

I just started to read the e-book, but I don't much like reading books on a computer screen. Went to print it out and that's not allowed. Guess I'll have to order the book. I see they have a bootcamp. Anyone have a bootcamp they want to sell?

 

TIA

 

Gary

Share this post


Link to post
Share on other sites

Hey Everyone,

I personally own TradeGuider and love it. It's indicators are actually just training in VSA for me. I barely look at them anymore. You get to know what you're looking for after a while.

You can't dog on Gavin for using the indicators in his presentations, he's presenting the indicators! I doubt he trades with them.

For me it was worth the money. It's saved me tons of cash in losses and helped me hone my TradeStation strategy to be way better.

If anyone has seen a presentation you know what their Trend Clusters are. I wouldn't trade without them. Worth the two grand alone.

Just my 2 cents.

Share this post


Link to post
Share on other sites
But would you base your trades on it?

 

 

I would base my trades on something learned through the socratic method and from other intelligent human beings before I would rely on a $2000 red light green light computer to tell me what I should be seeing, if that answers your question.

Share this post


Link to post
Share on other sites

I had a feeling I was posting to the wrong group but I didn't want people reading the negative comments to actually beleive they're the truth.

There's always two perspectives. Enjoy yours without claiming it as 'truth'.

Share this post


Link to post
Share on other sites

You asked a question and I answered.

 

Onward with the thread please. I am not going to get into this. I stated my opinion. Period.

 

Have a nice day, maintain respect on the forums please.

Share this post


Link to post
Share on other sites
Guest
This topic is now closed to further replies.

  • Topics

  • Posts

    • HLF Herbalife stock, watch for a bull flag breakout above 9.02 at https://stockconsultant.com/?HLF
    • Date: 1st April 2025.   Will Gold’s Rally Hold Strong as New Trade Tariffs Take Effect Tomorrow?   Gold continues to increase in value for a sixth consecutive day and is trading more than 17% higher in 2025. Amid fear of higher inflation, a recession and the tariffs war escalating investors continue to invest into Gold pushing demand higher. The trade policy from April 2nd onwards continues to be a key factor for the whole market. Can Gold maintain its upward trend? Trade Policy From Tomorrow Onwards Starting as soon as tomorrow, a 25% tariff will be imposed on all passenger cars imported into the United States. While this White House policy is anticipated to negatively affect European industrial performance, it will also lead to higher transportation and maintenance costs for everyday American taxpayers. The negative impact expected on both the EU and US is one of the reasons investors continue to buy Gold. Additionally, last month, President Donald Trump announced reciprocal sanctions against any trade partners that impose import restrictions on US goods. Furthermore, tariffs on products from Canada and the EU could increase even more if they attempt to coordinate a response. Overall, investors continue to worry that new trade barriers will prompt retaliatory measures, particularly from China, the Eurozone, and Japan. Any retaliation is likely to escalate the trade conflict and prompt another reaction from the US. Experts at Goldman Sachs and other investment banks warn that this will lead to rising inflation and unemployment. They also caution that it could effectively halt economic growth in the US.   XAUUSD 1-Hour Chart   The Weakness In The US Dollar Another factor which is allowing the price of XAUUSD to increase in value is the US Dollar which has been unable to maintain any bullish momentum. Despite last week’s Core PCE Price Index rising to its highest level since February 2024, the US Dollar has been unable to see any significant rise in value. Due to the US Dollar and Gold's inverse correlation, the price of Gold is benefiting from the Dollar weakness. Investors worry that new trade barriers will prompt retaliatory measures from China, the Eurozone, and Japan, potentially escalating the conflict. Experts at The Goldman Sachs Group Inc. believe that such actions by the US administration will drive rising inflation and unemployment while effectively halting economic growth in the country. Can Gold Maintain Momentum? When it comes to technical analysis, the price of Gold is not trading at a price where oscillators are indicating the instrument is overbought. The Relative Strength Index currently trades at 68.88, outside of the overbought area, since Gold’s price fell 0.65% during this morning’s session. However, even with this decline, the price still remains 0.40% higher than the day’s open price. In terms of fundamental analysis, there continues to be plenty of factors indicating the price could continue to rise. However, the price movement of the week will also partially depend on the employment data from the US. The US is due to release the JOLTS Job Vacancies for February this afternoon, the ADP Non-Farm Employment Change tomorrow, and the NFP Change and Unemployment Rate on Friday. If all data reads higher than expectations, investors may look to sell to lock in profits at the high price. Key Takeaway Points: Gold’s Rally Continues – Up 17% in 2025 as investors seek safety from inflation, recession fears, and trade tensions. Trade War Impact – New US tariffs and potential retaliation from China, the EU, and Japan drive uncertainty, boosting Gold demand. Weak US Dollar – The Dollar’s struggle supports Gold’s rise due to their inverse correlation. Gold’s Outlook – Uptrend may continue, but US jobs data could trigger profit-taking. Always trade with strict risk management. Your capital is the single most important aspect of your trading business.   Please note that times displayed based on local time zone and are from time of writing this report.   Click HERE to access the full HFM Economic calendar.   Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding of how markets work. Click HERE to register for FREE!   Click HERE to READ more Market news.   Michalis Efthymiou HFMarkets   Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in Leveraged Products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
    • Date: 31st March 2025.   Trump Confirms Tariffs on All Countries, Sending Stocks Lower.   The NASDAQ continues to trade lower due to the US confirming the latest tariffs will be on all countries. In addition to this, bearish volatility also is largely due to the higher inflation data from Friday. The NASDAQ declines to its lowest price since September 11th 2024. Core PCE Price Index - Inflation Increases Again! The PCE Price Index read 2.5% aligning with expert forecasts not triggering any alarm bells. However, the Core PCE Price Index rose from 0.3% to 0.4% MoM and from 2.7% to 2.8% YoY, signalling growing inflationary pressure. This increases the likelihood that the Federal Reserve will maintain elevated interest rates for an extended period. The NASDAQ fell 2.60% due to the higher inflation reading which is known to pressure the stock market due to pressure on consumer demand and a more hawkish Federal Reserve. Boston Fed President Susan Collins recently commented that tariffs could drive up inflation, though the long-term impact remains uncertain. She told journalists that a short-term spike is the most probable outcome but believes the current pause in monetary policy adjustments is appropriate given the prevailing uncertainties. Although, certain investment banks such as JP Morgan actually believe the Federal Reserve will be forced into cutting rates. This is due to expectations that the economy will struggle under the new trade policy. For example, JP Morgan expects the Federal Reserve to delay rate cuts but will quickly cut towards the end of 2025. Market Risk Appetite Takes a Hit! A big factor for the day is the drop in the risk appetite of investors. This can be seen from the VIX which is up almost 6%, Gold which is trading 1.30% higher and the Japanese Yen which is the day’s best performing currency. Most safe haven assets, bar the US Dollar, increase in value. It is also worth noting that all indices are decreasing in value during this morning's Asian session with the Nikkei225 and NASDAQ witnessing the strongest decline. Previously the stock market rose in value as investors heard rumours that tariffs would only be on certain countries. This bullish swing occurred between March 14th and 25th. Over the weekend, President Donald Trump indicated that the upcoming tariffs would apply to all countries, not just those with the largest trade imbalances with the US. NASDAQ - Technical Analysis In terms of technical analysis, the NASDAQ continues to obtain indications that sellers control the price action. The price opens on a bearish price gap measuring 0.30% and trades below all Moving Averages on all timeframes. The NASDAQ also trades below the VWAP and almost 100% of the most influential components (stocks) are declining in value.     The next significant support level is at $18,313, and the resistance level stands at $20,367.95. Key Takeaway Points: NASDAQ falls to its lowest since September 2024 as the US confirms tariffs on all countries, adding to inflation concerns. Core PCE inflation rises to 0.4% MoM and 2.8% YoY, increasing the likelihood of prolonged high interest rates. Investor risk appetite drops as VIX jumps 6%, gold gains 1.3%, and safe-haven assets outperform. NASDAQ shows strong bearish momentum, trading below key technical levels with support at $18,313 and resistance at $20,367.95. Always trade with strict risk management. Your capital is the single most important aspect of your trading business.   Please note that times displayed based on local time zone and are from time of writing this report.   Click HERE to access the full HFM Economic calendar.   Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding of how markets work. Click HERE to register for FREE!   Click HERE to READ more Market news.   Michalis Efthymiou HFMarkets   Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in Leveraged Products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
    • PM Philip Morris stock, top of range breakout at https://stockconsultant.com/?PM
    • EXC Exelon stock, nice range breakout at https://stockconsultant.com/?EXC
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.