I’ve been in search of a good service or software which shows live forex purchasing volume for sometime. This type of software or service is not hard to get when trading stocks, however it’s been more of a challenge for forex. Does anyone know of such a software which let’s you know when there is very high purchasing volume for for particular currency pairs ? I would like to be able to do other work when trading but gets sometime of a signal when a high purchasing volume is reached on the pairs I’m trading. Please advise.
Yo BnBcorner.
Perfect timing for this question.
Here’s your solution: FXCM Real Volume APP - Read up about it.
Also, the FX market is decentralized, so unlike Futures/Equities we don’t have access to “real volume”. Tick volume is a great substitute though because it’s all relative. As long as you are comparing one bar of tick volume to another bar of tick volume, you can apply VSA principles quite nicely. There’s a great thread on here ran by petefader- check it out if you’re interested.
If you want “real” volume, open up a futures account and trade CFDs.
Thanks greatly for your reply. You’ve given me a great idea to compare the bars of Tick volume. I really wanted something more absolute, however it’s a great substituent. Thanks for your reply to my question.
Kind Regards,
BnBcorner
Bottom line-
As long as you’re comparing apples to apples, you can still build a strategy out around tick volume (i.e. VSA).
Tick volume is going to represent movements in price.
If there is RELATIVELY low tick volume on a RELATIVELY ultra-high spread bar, the logical conclusion one may draw is that there isn’t professional participation in the move and it’s an anomaly.