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Volume and PA the combination of success Part II: Examples and Indicators Good Day Traders, In this article I am going to continue with the volume and price action combination with some good examples and some explanation about volume indicators and the volume indicator which I use. First of all, I use a VSA indicator for reading the volume.
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Head and Shoulders Pattern Lets set an example in order to visualize this more easily. We have the price aspect, but it cannot tell us if were looking a trend reversal or a random fluctuation at the given time.
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The number of people involved in a given movement, relative toe the number of people involved on an average basis, is an key metric defining the strength or lack of strength in the market. The trouble is that tracking changes in volume on your own on other than very basic level can be quite messy. Fortunately for us there are a number of volume based indicators that can be of service to us.
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Volume is highly relevant to binary options traders. It can help you identify profitable trading opportunities and avoid bad ones.
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Why not trade in the direction the big guys are going and volumes are the ones to show the direction, right? Binary Options Volume Indicator However, this does not mean we should not trade forex based on the volumes one broker is showing and actually there is even a strategy for that. One should go on the hourly chart and scroll back in time and look for the last biggest volume candles in both bullish and bearish markets.
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