https://www.youtube.com/watch?v=vgRHqIqe2HA
Gaps Are Traps
Gaps in price charts often look exciting. They promise quick profits. But gaps are traps for many traders. Price jumps leave empty space. This attracts chasing buyers or sellers. Volume price analysis (VPA) reveals the truth.
Gaps can indeed be traps as this chart from the YM shows. The price action is from our London forex webinar and forex traders may be wondering why they should be looking at related markets as the futures. And the answer is for a view on broader market sentiment which will then be reflected in the buying or selling of currencies that reflect risk appetite such as the Japanese yen.
Why Gaps Become Traps
Gaps form on news or low liquidity. Retail traders rush in. Professionals fade the move. High volume filling the gap shows conviction. Low volume gaps persist longer. Quantum indicators on NinjaTrader or MT5 highlight gap behavior clearly.
Avoiding Gap Traps with VPA
Wait for volume confirmation before entering. Gaps filling with strong volume...
Yen Pairs on the Matrix Confirm Market Rout
Yen pairs on the matrix confirm market rout clearly. Safe-haven JPY surges as equities fall. Risk-off sentiment dominates. Currency matrix highlights yen strength across crosses. This signals broad market weakness.
Strong safe haven flows into the Japanese yen confirmed on the hourly chart of the Currency matrix with heaviest flows into usd/jpy and cad/jpy, the latter also suffering from a sharp fall in oil prices. The matrix indicator ranks the performance of all the 28 pairs featured and highlights potential oversold and overbought trading opportunities.
Note also the numbers next to the pairs and the values reflect the strength of the move. In other words, the higher the value the bigger the move.
How the Matrix Reveals Rout
The currency matrix ranks pairs relationally. Yen pairs like USD/JPY or GBP/JPY drop sharply. Volume price analysis (VPA) confirms selling conviction—high volume on down candles. Quantum matrix on MT5 or NinjaTrader shows yen topping rankings.
Trading Implications in Risk-Off
Market rout...
https://youtu.be/nKQ7QhwxWng
Aussie Dollar and Gold in Focus in the London Session
The Aussie dollar and gold take center stage in the London session. Both are commodity-linked assets. AUD reacts to risk sentiment. Gold often moves inversely to USD strength. Traders watch them for early clues.
In this morning's session once again we focus on some of the key concepts of support and resistance using the accumulation and distribution indicator for NinjaTrader and the dynamic support and resistance indicator for MT4/5. The AUD/USD provides some good examples from the faster to the slower timeframes as the pair tests a strong level of support in the session on the 60 minute chart.
One of the many trading concepts we also discuss is using multiple timeframes to identify levels in higher and lower timeframes. Finally we also look at support and resistance from the aspect of overbought and oversold with the currency strength indicator for NinjaTrader.
Volume Price Analysis Insights
Volume price analysis (VPA) reveals connections. High volume on...
