Volume Momentum Shift Nets 77 Points on Dow Jones

Volume Momentum Shift

The volume momentum shift nets 77 points on Dow Jones after a retracement to the ATR on the forty-five minute chart.  While the trade setup was actually from the forty-five minute chart, we confirmed the volume momentum shift on the lower timeframe for lowering our risk and confirming the higher timeframe setup. First, the forty-five minute chart was showing the volume momentum shift after price had approached the ATR stop.  This was the same area that resistance had been found before (white dots on the chart below).  It was clearly evident that buyers simply could not break through this area…

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Volume Shift on Gold Using a Higher Timeframe

Volume Shift

During the Futures and Binary Trading session yesterday, I warned everyone to look for a volume shift or divergence on Gold for the retracement of the wide bar that was made after the Rate Announcement.  Since the move had been a major move on the forty-five minute chart, I knew it would take at least one bar maybe two for the market to turn and retrace. Volume Shift on Gold Using a Higher Timeframe The volume shift came in around 3:45 pm.  The chart below shows it perfectly.  The last volume bar on the chart shows a red hash mark…

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Trading Using Volume Divergence for Entries

Trading Volume Divergence Pullback

Trading using volume divergence for entries allows traders to enter utilizing the least amount of capital for risk as possible.  And, since volume is a leading indicator, it only makes sense to use it to limit potential risk on entry.  First, an understanding of what volume divergence is all about.  If price is making new highs, then buying volume should remain strong.  Or, if price is making new lows, then selling volume should remain strong.  However, the issue is that most volume indicators don’t really show buyers or sellers in the raw.  Instead, they add moving averages or other algorithms…

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Day Trading Using Volume on Futures

day trading using volume on futures

Day trading using volume on futures gives day traders a heads up on where price will likely go in the near future.  In other words, volume is a leading indicator.  Incorporating volume requires looking at both buying power and selling power because trading is an exchange between buyers and sellers.  However, most volume indicators fail to include all the information needed to decipher who is winning the battle. The Directional Volume indicator for NinjaTrader, Multicharts, and TradeStation incorporates all the components so day trading using volume on futures can really give traders the “heads up” they need to make low…

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Day Trading With Volume Analysis – Forex

Day trading using volume forex

Day trading with volume analysis on forex gives the day trader a heads up on where price is likely to go, regardless of whether trend trading or counter trend trading.  However, the issue with most volume indicators is that they use a moving average or only plot the total volume or they are so complicated that it’s almost impossible to implement on the live edge of the market.  The Directional Volume indicator is designed exclusively for day trading with volume because data providers only provide a limited number of days back for bid/ask data. The Directional Volume indicator identifies the…

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Best Divergence Indicator for Trading Futures & Forex

Best Divergence Indicator for Futures and Forex

The best divergence indicator for trading futures and forex is the Volume Divergence indicator by TradersHelpDesk.  The volume divergence indicators measures volume divergence for TradeStation and Multicharts that identifies divergence in trends and retracements.  Traders can use the indicator to identify market tops or bottoms, as well as for low risk entries at the ATR or a slow moving average.  Additionally, our ADX and RSI indicators have built-in divergence algorithms, as well. Best Divergence Indicator for Trading Futures & Forex For example, the TradeStation RadarScreen image below shows that while there is not any trend divergence at the moment, there…

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When to Exit a Trade Using the Directional Volume Indicator

When to Exit a Trade

A great example this morning of when to exit a trade using the directional volume indicator on forex or futures. This morning I was trading the AUDUSD and Aussie Dollar future expecting price to go to at least .7450 (average true range stop on the 180 minute chart).  Price had pulled back to the Average True Range Stop on diverging selling volume so I entered a long position on the 45 minute chart on both the Aussie Dollar futures and the spot forex AUDUSD contracts. Price was also at the Average True Range Stop on the 12 minute chart (although…

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Volume Divergence Examples on Swiss Franc

Swiss Franc Volume Price Analysis

Volume Divergence examples were prevalent on the Swiss Franc this morning.  All the different types of volume divergence examples in one single picture, if you were using the Directional Volume indicator that shows total buyers, total sellers and who won the price war at the close of the bar. Volume Divergence Examples on the Swiss Franc First, price retraces to the ATR.  The TradersHelpDesk Directional Volume shows that buyers decreased (volume divergence).  This was the first entry into the downtrend. Second, price retraces again to the ATR stop (based on the Average True Range algorithm).  As price reaches the ATR,…

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Annual Members Live Trading Room 6/24/15

Free Futures Live Trading Room

This morning in the live trading room for annual members, Gail identified the key support and resistance areas where volume price analysis would be key.  

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Annual Member Webinar Video for 6/23/15

Free Futures Live Trading Room

This morning we had the Annual Members webinar at 7:30 am EDT.  In this webinar, Gail discussed the key areas for Gold, Dow, Crude, ES, Nasdaq, Euro, British Pound, and Swiss Franc.  

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