Forex trading the US session – volume price analysis examples and much more!

Forex trading the US session – volume price analysis examples and much more!

Another great forex session as the US markets get underway following the overnight news in the Far East and in particular with regard to the Aussie dollar. Once again some great examples of volume price analysis in action which then provides the foundation for all the other technical analysis on the chart and supported by the Quantum Trading indicators. For forex traders the Quantum Trading currency dashboard is a great place to start with the currency strength indicator revealing individual strength and weakness across the eight major currencies. Then it’s on to the currency matrix and the currency array to consider the pairs and the complex of currencies, before moving finally to the currency heatmap. The importance of using multiple timeframes is once again highlighted both on the charts themselves and also on the indicators, with key indicators such as the trend monitor and trend dots helping to keep you in a position during the inevitable pause points in any trend higher...
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The volume point of control confirmed it all!

The volume point of control confirmed it all!

Another session for day trading the US indices where patience and more patience was required, but as always it’s volume spread analysis coupled with the Quantum Trading tools and indicators which helps to keep us safe and stop us from jumping in and then regretting this decision. The volatility indicator was once again much in evidence as indeed was the accumulation and distribution indicator for NinjaTrader, helping to define those key levels of price support and resistance which are so important. The volume point of control was also much in evidence with the primary US indices of the ES, the YM, and the NQ all rotating around key levels as price agreement was reached in the faster timeframes. The tick charts too also confirmed this lack of interest and participation with the tickspeedometer indicator delivering very clear messages of danger ahead as the red warning signals flashed loud and clear. The messages were clear – wait and be patient. The trades...
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A masterclass in trading forex using the Quantum Trading indicators and volume price analysis

A masterclass in trading forex using the Quantum Trading indicators and volume price analysis

This morning's forex trading session was a masterclass in trading, combining every aspect in one powerful lesson. The GBP/JPY provided a perfect example, starting with the base methodology of volume price analysis as the move higher came to a temporary halt in the faster timeframes and duly reflected on across the currency dashboard in terms of the currency strength indicator, the currency matrix, the currency array and finally the currency heatmap. Multiple timeframes are a key aspect coupled with support and resistance, the volume point of control and of course related markets in terms of risk sentiment. The currency indices too also play a pivotal role in identifying the intraday moves of the three major currencies of the US dollar, the Japanese yen and the euro in all timeframes. https://youtu.be/HRgkvTJjJRY...
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Volume price analysis and the British pound

Volume price analysis and the British pound

Another interesting session with the British pound once again in focus for several reasons. First of course Brexit continues to dominate the news, and whenever an item of fundamental news is released it is the context of the bigger picture, and therefore has relatively little impact. Second, a volume price analysis anomaly was clearly in evidence on the daily chart for the GBP/AUD. Here we saw a wide spread up candle, yet the associated volume was not in agreement with such a strong move. Clearly the market makers were not participating in the move higher, with the pair duly rolling over a few days later to deliver a clear trading opportunity to the short side. Finally we focused on the new release of retail sales to demonstrate volume price analysis in action on the 1 minute timeframe, and moreover the trap moves initiated on any such release, with the volatility indicator revealing its true power. https://youtu.be/bb_ENLt0X8o...
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Reversals clearly signalled on the currency strength indicator & multiple timeframes

Reversals clearly signalled on the currency strength indicator & multiple timeframes

As we prepare for yet another Brexit dominated day, the British pound was one of several currencies in focus in the London forex trading session this morning, along with the euro and the New Zealand dollar. For the euro, it was the early move higher which caught the eye with the currency rising strongly in the faster timeframes and on the currency strength indicator, with the Canadian dollar moving in the opposite direction with equal speed and creating a nice trend. Then as London opened, volatility became the order of the day with a potential reversal setting up. This was also the case with the New Zealand dollar which had been rising strongly and reached an overbought condition, clearly signalled on the TradingView charts with the currency strength indicator confirming this across three timeframes. Taking a reversal trade requires patience and wider stops, but reverse it did in due course. Finally of course to the British pound, and here the GBP index on...
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The volume point of control takes centre stage on the US indices!

The volume point of control takes centre stage on the US indices!

In the US session for day trading the index futures, once again it was patience that was required in abundance as we waited for the inevitable breakaway which duly arrived later in the day. The primary indicator in this session was the volume point of control which as always gives a visual representation of the region of price agreement, with no bias in sentiment. This is the fulcrum of price action and works in all timeframes, denoting the heaviest concentration of volume on the price chart, combining as it does volume, price and time. Any move away from the volume point of control is then confirmed with the linear price volume relationship as Wyckoffian principles then apply and confirm any subsequent move as genuine or false. The volume point of control on the NinjaTrader platform works in all timeframes and for all markets, and sits at the point at which volume is at an extreme. The associated volume histogram then highlights high...
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Is reversal trading in forex for you – or is trend trading the best option?

Is reversal trading in forex for you – or is trend trading the best option?

In the London forex session, the focus was on reversals and reversal trading, and whether this suits your temperament and personality as a trader. The forex market is one of mean reversion, with currencies moving from oversold to overbought and back again in all timeframes. This presents a myriad of trading opportunities using the currency strength indicator for MT5, NinjaTrader and TradingView. But the question is whether this is for you. The advantage of reversal trading is as a trader you get in early and so maximize returns on the position. However, getting in early comes at a price, which is the need to have a wider stop loss as it's not a question of if the market will reverse but when. And in waiting for the reversal to occur, requires patience and risk management as currencies can remain overbought or oversold for longer than you think. So the key is whether this style of trading suits your personality. If...
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London forex session delivers great trading & volume price analysis lessons

A terrific trading session which once again had so many lessons for traders in all timeframes, emphasizing the power of volume price analysis and supported by the Quantum Trading tools and indicators. As so often happens at the session crossover periods, reversals take centre stage as the market makers move in to trap traders into weak positions. Putting Brexit to one side, the focus here was on the commodity currencies and in particular the cross-currency pairs of the euro, the Aussie dollar, and the Canadian dollar. The forex market is one of mean reversion and none more so at these times, when the market makers are at their most active. For the EUR/AUD the solid bearish trends intraday were duly reversed, but as always it's a question of identifying whether this is a change from a primary bearish to a primary bullish trend, or simply from a primary bearish to a secondary pullback or reversal before the primary is re-established once again....
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Day trading the ES emini on tick charts and tickspeedometer delivers solid profits

Day trading the ES emini on tick charts and tickspeedometer delivers solid profits

An interesting session for US indices where despite the relatively narrow price action, the tick charts delivered some solid trading profits for intraday scalping traders. The focus in this session was on the ES emini, the most heavily traded index, and using tick charts in combination with the Ninjatrader Tickspeedometer indicator. This approach delivered some solid results despite the fact markets were waiting for FED chair Powell to deliver a speech to the Economic Club of Washington DC, with a question and answer session to follow. It was no surprise to see markets trading in a relatively tight range, but nonetheless delivering for the emini scalping trader. https://youtu.be/5D7MM3Ffik8...
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Potential reversals now ahead after the storm of last week!

In this morning's forex session we looked at some of the interesting setups now on the horizon using the longer term perspective of the currency heatmap. The currency heatmap can be viewed in much the same way as the currency strength indicator. For the heatmap, we consider pairs rather than currencies, and a great way to use the indicator is to look for the extremes as potential reversals, and with the yen now weakening following the flash crash, and coupled with a shift in risk sentiment, these now look good prospects for the longer term. At the other end of the ladder, we have several euro cross pairs to consider. And all, of course, confirmed with volume price analysis and the Quantum Trading tools and indicators for MT4/5 and NinjaTrader - and more recently TradingView. https://youtu.be/cfzpUT701Dk...
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