Analysis 12.12 on euro. The logic of the movement of market from volume of the previous day: today market opened above max volume of the previous day- that means "we are in a buy-zone".looking where to open a "buy" position.the market gives system deals from the price with max volume.



Trades from that volume:

Hi Aleksey_S,

Use forum to upload the images.

__________________
My blog on TSD

One of the greatest and oldest technical indicator is volume.
It was a holy grail when stocks start trading...only available to the trader on the floor not to anyone else.
If Forex traders want to see volume they better see futures for the same currency. Preferably daily bases.

Write me please how to do this.I can`t find such function.I also can`t write you private message.

Yes you are wright.Futures on euro trading analysis that I post here shows volumes that people can`t see on EURUSD.Now volumes are aviable not only traders on the floor, but its not enough just to see volumes, people should understand which volumes are important, and how they move the price.That`s what I want to talk about here.

Let's consider the market movement (euro futures) of week 1-5.12. First we will look at the volumes of all contract since 08.09, as that day there was a change to the December contract.
Max volume for contract prices (till Thursday 04.12 at 8:00):



During all the contract on the prices 1,263/1,27/1,285 huge volume was formed.As current contract comes to an end, from 1st to 5th of December on the market appears large volumes of days (closing large positions).That forms total volume of week on the price 1, 262:



On Thursday 4.12 at 8:00 we already have large volume of week which has been formed for three days.Pay your attention: volume of the week 7179 lots, and volume of all the contract 19767 lots.
That means only for 3 days was formed 1/3 of all volumes for the contract.That tells about serious movement in the market.Exactly that happened on Thursday:



I show in more details as happens deal on "buy" from these levels. After 8:00 the market gained from level of week 1, 262 and what`s interesting - on that price-1.262 from 7 to 8:00 was formed max volume of an hour, hour befor strong movement.
Volume of an hour we see on a cluster chart:

Now we look for the process how the market gained from formed volumes:



Finally the market gained from max volume of the contract, which was on 1,263.
Such powerful movements of the market happen from large week volumes and max contract volumes.It always happen in the same way.

You can write PM.
Also: when you are doing the post so click on
"Manage Attachments"
and attach the images:

attach_2212_1.jpg

__________________
My blog on TSD

Let's consider on an example how traded the previous contract on s&p 500 mini futures.With the help of volume counter I look for the prices
with the maximum volumes for the contract. A principle is simple: in the beginning of the contract investors open long-term positions and that forms a trend.
After accumulation of large volume there is "working off" of prices with max volumes and strong movement.The market comes back to the prices with large volume and without "pressing them through" it "flies away".
The first prices with large volumes in the beginning of the contract: 1179 / 1250 / 1252/ 1250 / 1210.



Chart shows all the contract that began in September:



Market declined.After strong movement on sale on the prices 967 and 968 new maximum volumes for contract appeared, that means that possibly the trend may be reversed or
may also continue to decline for a long time. The market has given sales from that prices.And declined again. After that the new volume of the contract has been made on
the price 870,and that new max volume reversed the market to the previous max volume on 967-968.



All given movements of the market are used for opening positions on "buy or sell", only when it is confirmed by intraday volume and there is an intraday-deal in the same way.

The analysis on S&P 500 mini futures.Just before began changing from DEC`08 contract to MAR`09. On tis chart you can see 3 previous weeks, and prices with max volumes per week.
Dark blue is the week from 1 to 7.12 with max volumes 834/835/844,5
Red week - 24-30.11 formed volumes on the 849-850 prices.
Volumes of two weeks in a narrow range.Huge volume is formed in the bottom.That pushed the market higher.
Yellow week (8-14.12) opened above this large volume that means the market is in a "buy zone".But for 3 days from monday to wednesday, unusually big volume appeared on 898/898,25/898,50.153491 lots for 3-4 days.That is about 540 million dollars only on one price.Must be a strong movement.And we have to join it
Thursday the market gave intraday deal from that price: market rebounded from 898 and went under intraday volumes.Big players reversed the market to the levels of previous weeks.
On the chart 870 and 869 are max volumes for all the contract.



On this chart you see how happened a sell-deal from 898 level, with rebound from that price.



Here are all intraday volumes with interval of 1 hour.Max volumes are coloured-we see how was fomed volumes for selling.



This are max volumes per week.



Dec08 contract was quite volatile wiht not as big volumes as it was in previous, but it wasn`t a problem for trading.