Supply/Demand, VSA, Wyckoff with Petefader

Ditched it at 6930 oh well, still up for the day

Some odd late day positioning on the N/U @ the 50%fib


in long

You are absolutely right!

It was a pretty profitable Week!
The forum is a great help.
Which you all a nice weekend.

I need some way to filter out these bad trades/analysis until i get the hang of this. I was thinking some kind of histogram or something. Maybe just patienceā€¦

Incase you missed it, hereā€™s some good weekend study material. :slight_smile:

Hi eVeryone, anyone know the difference between high volume upthrust and low volume upthrust? :slight_smile:
Which you all a nice weekend.

Yes, definitely PATIENCEā€¦ :smiley:

One has high volume and one has low volumeā€¦ LOL

Like everything else in VSA it depends on the background, and then the reaction.

For a high volume upthrust, if I see weakness in the background, then this is one of my favorite catalysts to get in on, after I get the proper bearish reaction to it. The high volume means that there were still buyers present, but the sellers stepped up, pushed price back down, and are probably going to make a move to mark price down (assuming there is a bearish reaction to the UT)

For a low volume upthrust, I NEED to see weakness in the background, and prefer some recent climactic action. The low volume UT would mean there arenā€™t many sellers present at the current price. I personally donā€™t look for these, and Iā€™m not sure how often they actually occur. Itā€™s not that they canā€™t happen, but think about how this bar forms; buyers push price up and sellers push it down. So, there has to be some buyers present for a UT to form. That said, if I do see a ND that has a nice upper wick, after SOWs, that does get me pretty excited :slight_smile:

Let us know if you have more questions on this.

Thanks,

Ryan

Ryan, thanks for sharing your knowledge, appreciate that :slight_smile:

USD gained strength across all XXXUSD pairs on thursday and friday previous week. No sign of climactic buying YET. Only some slightly higher volume before friday close, could be profit taking for the week.


Im bearish until climactic buy volume shows up.

By the way, hello guys. This is my first post in this thread :slight_smile:

Heya guys,

With this low volume consensus among the market latelyā€¦how are you all determining your entriesā€¦after news? It seems to be that the volume stays quite stagnant until news hits the market.

Hope youā€™re all well.

  • Romancandles

With VSA we are always looking at the relative volume. So, even if the volume is low, thats okay, we are focusing on the high and low volume areas, the background, and the reactions to tell us what is going on. That said, observing that the volume is low overall can be very helpful in managing our expectations for returns on a trade. Also, if you combine the fact that there is overall low volume AND that price is stuck in a small range, that can also act as a filter and let us know that we donā€™t want to be trading that pair at the moment.

Great Answer! And, yes, I agree. It is all about relativityā€¦not What used to be High vol six months ago,etcā€¦More-so what is considered high vol now.

Thanks again!

  • Romancandles

Hi pete,

i have a question i hope you can answer,
in your first thread (1,500 pips) (pg 79) you say you determine strength or weakness by the reaction to high volume up/down bars.
you said if you have a high volume down bar and the next bar cant break the low of that candle you call this strength.

my question is if you have high volume down bar and the next bar which is a bearish/red bar cant break the low of the first candle but the bar after that does, is this still strength or is it weakness?

any help would be appreciated.

thank you.

To me, that would look like sustained selling. This is why we always wait to get in. We try our hardest not to pick tops or bottoms.

You need to look for a confirmation possibly, so a close below the low of the high volume bearish candle would not necessarily indicate strength, but continued weakness.
The easiest way to go about it is look at the volume on the bar, its open, close, low and high and ask the question ā€œWhat did SM do hereā€. Quite often, that simple question will drag the answer out easily for you

I donā€™t see a good setup today. Maybe news in a few mins will helpā€¦probably not lol.

[QUOTE=ā€œpetefader;628145ā€]I donā€™t see a good setup today. Maybe news in a few mins will helpā€¦probably not lol.[/QUOTE]

I was thinking the same thing.

Just entered AJ long off of a 61.8 fib bounce. I NEVER trade Asia anymore as it tends to be too slow for me, but I was stalking the setup this morning and its there, clear as day right now. 25 pip stop, first target is 95.76.

Please say a prayer to the trading gods before bed for me :slight_smile: Errrr, when you wake up on the other side of Earth :slight_smile: