I have what I hope isn’t a stupid question regarding the volume/volatility relationship: If volume is strong, are we looking for high volatility or low volatility? Since volatility measures the “ups and downs,” then high volatility means the direction is frequently changing, which would not bode well for trend traders. Therefore low volatility would be good. Am I looking at this wrong? Guess I am still not clear on how the two things inter-relate.
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Bud, I am not one of the supper techs that van make a database and spreadsheet sing so I’m always reducing to the kiss principle. 1st off in forex we essentially do not have a complete dome so a full picture of the volume is hidden. On the other hand we do have the data to map or observe the volatility of the price action.
What I do is simply get the specific angle of the PA slope between S&R and then the time cycle, with that I still do not have true volume but I do have the momentum force of the move.
sentiment + momentum = trend.