I am losing faith in VSA before I have even begun. VSA requires a reliable volume feed. What is a reliable volume feed? Each broker has their own feed which differs from everyone elses. I have applied the no supply no demand indicator which Pete used onto multiple broker MT4 platforms. Not only can I see clear differences in the volume but the indicator flags up the same ns and nd candles in different locations. Probably only 50% of them are on both platforms at the same locations.
I have circled the signals which do not appear on all three platforms.
Now I understand you don't just trade every signal it gives you. I understand the reaction to NS ND candles make a difference. But the problem is that this method relies alot on seeing a NS or ND candle in which the volume bar is lower than the previous two. So if the first step in identifying the NS ND candle is "flawed" what chance is there in the rest of the process playing out in our favor? Due to the brokers varying volume feed this method has a major flaw. the flaw only gets worse the lower the time frame. Especially a 5 min chart used in this method.
Although you could argue not to use this NSND indicator it is not the point. It takes the volume and applies it to the chart and it clearly shows it cannot be trusted.
So It leaves me with questions.
1) People say you need a reliable volume feed. Well who can ever know what is reliable? You cannot compare any feed to an ultimate authority as there is none, thus cannot come to a conclusion what is and what is not more accurate. You have nothing to compare it to except other broker feeds. Vicious loop..
2)I know Pete is profitable doing this and it confuses me even more. But basing the method on "volume bar lower than the previous two" has such a narrow margin for error as clearly seen on these pictures.
So where do go from here? I like the method alot but basing a strategy on a non fixed, varying and random tick volume feed which changes from broker to broker seems very risky.
My main point would be this. If making money in Forex is difficult enough as is, why use a method in which the data you are using is only 50% accurate in the first place. Surely we only want to use data that truly reflects the market.
Ca anyone straighten this out and tell me what feed to use and why. I'm concerned this method only works with something like E signal which is expensive. And how to know E signals tick volume is any better than anyone elses...
And does anyone have a point of view on FXCM's Real volume feed. Again looks different to al the tick volume feeds but as it is real volume I wonder if it trumps all tick volume anyway and should be used instead.