VSA Indicator Reads the Market as an Open Book.
Nov 15, · Smart Volume Spread Analysis is A Universal Approach To Chart Analysis Just as Wyckoff’s approach was universal in its application to all markets, the same is true of VSA. It works in all markets and in all timeframes, as long as the trader can get a volume histogram on the chart. Watch as trader and author Gavin Holmes takes a short trade on the British pound using the VSA Forex Toolset for the ActivTrades MT4 platform VSA for FOREX uploaded and posted 3 years ago.
It's reliable on what I trade and I will be purchasing your swing trading report soon. I give credit to these results to Niha and what I have learned from him. Price Action Trading no indicators.
Market quotes are powered by TradingView. Bloomberg Market News click to watch. Dow Jones Industrial Average. National Stock Exchange of India. Resources Used by TheStrategyLab. Given that the Foreign Exchange market has arguably the largest liquidity of all the traded instruments, it is odd that we do accept without question or argument, that statement without measurable proof - the proof that goes with accurate volume data to back up the claims of liquidity.
We take that liquidity for granted, yet have no idea of its verity. An examination of the operation of the MT4 and other bucket-shop brokers eg or IG Index does therefore seem to support the notion that if they are not personally taking the opposite side of the positions placed by traders, then they are passing those trades directly into the markets from which they derive their spreads.
Thus, tracking the fate of trades "should" lead to a larger and more liquid entity on the derivative side of the Forex market, since the Spot Forex market is only a mirror of the true Interbank quote. One wonders whether large dealers like Dukascopy could report volume, and whether other similarly large dealers could be asked to provide volume collectively, to create an industry standard.
Given that traders may trade with Retail brokers, or through their banks as perhaps Institutions do or more directly as perhaps countries do through the Interbank if you have big enough accounts it is intriguing that the Retail Forex Industry has been able to proceed as it does for so long, operating on artificial volume.
I suspect a degree of accountability is missing somewhere in all of this, if the retail side of the market is so poorly monitored. What I hear you saying is that traders should get on and trade VSA in Retail Forex as if the platform volume offered by the brokers is the real thing. And that not accepting this data places traders at risk of missing out on the wider benefits of using VSA - eg in taking the concepts of price action to higher levels.
Rather than throwing the baby out with the bathwater, I think it is OK - even preferable - to do as you suggest and just get over it and get on with it. Finally, I made an inquiry to NinjaTrader about how they derive volume for their platforms. Forex volume data will therefore vary by data provider. Please see the following link for more information on NinjaTrader supported data providers: I suggest to contact the data prover directly for more detailed information on the Forex volume data they provide.
But does a trader using an MT4 broker have any disadvantage when using VSA compared to a trader who is using Dukascopy? I think that would have to be affirmative, and it is exactly this anomaly that I am attempting to address. The sheer volume of business transacted by Dukascopy would possibly dwarf my local Australian MT4 broker. And this creates the anomaly.
Or do they simply operate at certain levels, with an opinion of where they think the market is going? If 'they' have no better access to volume figures, then they must be operating on price.
What is their alternative? My discovery and reading about VSA over only the past 36 hours, has raised more questions than I have been able to find answers for.
Am I being too anal about this? Does the lack of true volume, or even consistency between data suppliers make any difference to the potential outcome of trading Forex on retail platforms? Perhaps I should simplify my life and simply stick with a couple of moving average crossovers! Or move to trading the ES where such issues do not exist.
Actually when I said 'why add another hurdle' what I meant was if you are using an approach that requires volume then why on earth trade an instrument that does not provide that information? There are those that claim to enjoy some success using VSA principles on spot. Thanks for clarifying - I took it to mean "don't worry about true volume - just get on and trade with the tick volume supplied". Either way I have been placing far too much emphasis on trying to trade using VSA as a purist, when it is never going to happen.
Without true volume, we have to accept the next best thing best for whom? The only way for me to know, will be to have a go at it. If it doesn't work, then the knowledge gained will certainly not be a burden. The more I read the two. While I have uncovered the data providers who may have the most accurate data eSignal looks like being ahead of the rest I am coming around to the view that it really doesn't matter all that much in the spot market.
I trade spot Forex using vsa which uses E signal data through the original vsa software called "Tradeguider" which was invented by Tom Williams the creator of Vsa and No one else but copied by many. The volume in Tradeguider I believe is based on tick volume which with my trading I find is very accurate as I use the volume spikes as turning points in the market to get in or out of the trade. I tried MT4 and it didn't help me.
Tradeguider run some free webinairs which show vsa use and volume. I am happy to send anyone that wants one of my forex charts to show you how you can see the volume bars and the spikes to prove this as I wouldn't consider trading without this! However, I heard some people have used the volume on currency futures as a proxy for volume on Forex. I am pleased to see someone speak up and come out in favour of Tradeguider as a platform.
I do not think the arguments against it are very strong. I would be keen to hear your views on these points, since you are an active user of Tradeguider, and are au courant with their add-ons and product accessories. Particularly I would be keen to understand the disadvantage suffered by users of the standard MT4 platform, when the VSA custom indicators are used, as opposed to the streamlined Tradeguider platform.
Of interest would not be so much the ease of use obviously a big plus but the end result. Can MT4 be expected to achieve the same results as Tradeguider, NinjaTrader or Tradestation, regardless of the bells and whistles?
Hi, Thanks for the suggestion but I have had the original paper copy of Tom's book since it was first published. In those days he was happy to take telephone calls to discuss the concepts too which was a bonus! As for 'professional salesman and marketing expert' GH personally I can't sit through all the hyperbole and misinformation on the off chance of a pearl being buried in all the It is worth trying to track down Sebastians videos there used to be a couple here.
Again just to reiterate tick volume on forex is constructed from quote changes not trades. If that works for you great stuff! I would like to commend you on your decision to learn VSA. You have raised many questions here VSA tends to do that to you and you should seek out the answers or doubt will forever plague your trading.
I'm going to say something that will sound a little pompus but, I mean the best when I say it. Hi thank you for great job I really appreciate. But can you give me the download link for the VSA rectangle S and D trend indicator thosebred and green rectangles. Tradeking Thursday, 23 April Hi all , please can anyone who has tried this system share some of its comments here.
Is it profitable or not. Joy Can you please share a swing volume indicator , where we can set the reversal value say by 5, 10, 15 pips etc?. If it can show the swing lines and also the cumilative volume amount and the number of bars in the swing it would really be awesome.
I am sorry i am not a coder , hence the request. If you see weiswave indicator you will understand what i mean Thanks for sharing and really like the passion you have for these , wish you all the success.
When reading analytics at specialized forums, you can very often find phrases like a "short candle — a false alarm", or "the price is too smeared, it is reasonable not to open a deal". You need to be a member in order to leave a comment.
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