Re-test the top?The bottom is now preserved, which indicates a change in the trend to a temporary corrective rise and a retest of the top
Note: the analysis fails if it closes below the area 100.7.
Volumespreadanalysis
CVNA - Trending but volatileCVNA had broken out of its basing formation neckline (a region between $17- $20) on 8 Jun on huge volume. It hit a high of 28.52 on 16 June before pulling back to retest near the neckline @ 20, then rebounded again from there.
IT's trend is in earlys stage yet with immediate suport @ 20. However be mindful that lower priced stocks tend to have huge volatility (both up and down). Hence it is important to position size accordingly or chose to exit if it pulls back beyond a certain % and wait for entry again once there are signs that the short term correction is over.
Watch out for resistences on the way up around $42 and also around $53+. Also be careful around earning releases.
Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is (probably the most) important! Take care and Good Luck!
USDRUBThe currency is now adopting a corrective upward behavior, including a final decline, for each three downward waves are formed, and the fourth wave ends
full analysis IMOEXIt is clear that the Russian Stock Exchange is heading to work on historical corrective waves after it ended five strong upward waves, and it is currently in the last, third leg of the correction, and it is expected to decline strongly to end wave C, including the beginning of a new five-motive bullish wave
The Power of Volume: Understanding Volume Analysis in TradingIn the dynamic world of financial markets, successful traders know that understanding volume analysis is crucial for making informed trading decisions. Volume, the number of shares or contracts traded during a given period, provides valuable insights into market dynamics and helps identify potential trends, reversals, and the strength of price movements. In this Educational article, we will explore the power of volume and its significance in trading, uncovering the key principles of volume analysis, practical strategies for incorporating it into your trading toolkit.
📊 The Basics of Volume Analysis 📊
Volume analysis is the study of trading activity represented by the volume of shares or contracts traded within a specified time frame. By analyzing volume alongside price movements, traders gain insights into market sentiment, liquidity, and the overall strength of a trend. Here are some fundamental concepts to consider:
Volume and Price Relationship: Volume often accompanies significant price moves. When volume surges during an uptrend or downtrend, it suggests increased participation and conviction from market participants. Conversely, low volume during consolidations or indecisive periods can indicate a lack of interest or involvement.
Volume Patterns: Patterns in volume can reveal important clues about market dynamics. For example, a gradual increase in volume during an uptrend may suggest a healthy and sustainable trend, while a sudden spike in volume near key support or resistance levels could signal potential reversals.
📊 Analyzing Volume in Different Market Scenarios 📊
Volume analysis can be applied across various market scenarios to gain insights into the underlying dynamics. Here are a few examples:
Breakouts: When a stock or asset price breaks out of a key resistance level with high volume, it suggests strong buying interest and potential continuation of the uptrend.
Reversals: A significant increase in volume accompanied by a sharp price reversal may indicate a trend exhaustion and potential reversal. Volume analysis helps validate potential reversal signals.
Divergence: When the price is moving in one direction while volume is moving in the opposite direction, it can indicate a weakening trend. Divergences between volume and price can provide valuable early signals of trend reversals.
Example: FINPIPE _ breakout with huge volume & reversal candle at retest (at support) of breakout with huge volume
📊 Integrating Volume Analysis into Your Trading Strategy 📊
To effectively incorporate volume analysis into your trading strategy, consider the following tips:
Confirmation: Volume analysis can act as a confirmation tool for other technical indicators or chart patterns. For example, if a price breakout occurs with high volume, it confirms the strength of the breakout.
Relative Volume: Compare current volume to historical averages to gauge the intensity of trading activity. Unusually high or low volume relative to average volume can highlight potential trading opportunities.
Multiple Time Frames: Analyzing volume across different time frames can provide a broader perspective on market dynamics. Higher time frames can reveal long-term trends, while lower time frames offer insights into intraday trading activity.
📊 Volume Indicators 📊
To assist traders in analyzing volume effectively, several technical indicators have been developed. These indicators help visualize and interpret volume data in meaningful ways. Here are a few commonly used volume indicators:
Volume: The most basic volume indicator, volume bars represent the volume traded during each price bar or candlestick. By comparing the height of volume bars across different periods, traders can identify anomalies or significant shifts in trading activity.
Moving Average in volume indicator: Moving Average calculates the average volume over a specified period. It smoothens out volume data, making it easier to identify volume spikes.
On-Balance Volume (OBV): OBV measures the cumulative volume by adding or subtracting the volume based on whether prices close higher or lower. It helps identify periods of accumulation or distribution and can provide early signals of trend reversals.
Wave Volume Divergence: A unique addition to volume indicators, this indicator enhances volume analysis by providing wave volume divergence and cumulative volume information. Traders can utilize this indicator to identify potential divergences between volume and price, as well as observe the cumulative volume trends.
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Keep exploring the power of volume analysis, and remember:
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Once again, beware of the fake rushA five-way ascent was made in the C wave, which is a closing of the A wave, and thus the Flat model was completed
Note: The analysis fails if it closes the highest area 26800 usdt
DFMGIIt is possible that the C wave will be corrected to form a flat pattern, and then a beautiful ascent to form a larger flat pattern
A fall and then a big riseThe stock is currently in a correction phase near the shaded area, including a rise to make a larger and final historical peak before the next major collapse.
Correction and then launchThe stock is currently in a correction phase near the shaded area, including a rise to make a larger and final historical peak before the next major collapse.
GBPAUDChart is clear, in the bigger picture price tends to fall at least one more time to reach some important liquidity areas. And price is clearly consolidating for gaining some momentum. I expect to see price falling from one of the previous highs.
Current bitcoin mapThe previous correction could not be a motive except in wave C out of three corrective waves. The shape of the previous waves was a correction and not a motive.
It is possible that we will witness a significant drop in Bitcoin over the coming weeks, breaking the bottom of Bitcoin and forming a new bottom
Note: The scenario fails if Bitcoin closes at the highest level 31000 usdt
Watch out for the next dropThe currency has been declining for a year, and all of this decline is planned on the monthly time frame. All this historical decline is inside a bullish monthly candle. It is expected that the price will return to test the bottom of the monthly bullish candle, including buyers and the market maker. It will appear again to rise to the top of the candle.
simple lesson in (Volumspreadanalysis)4 signs indicating weakness and the required correction appeared, beginning with the Buying Climax candle, Up Thrust, Stopping Volume and the effort bar. It is expected from the previous signals that it is a strong decline.
LTCBTC SHORTA first downward wave was made, from which a deceptive upward wave was corrected, not an impulse, and a third wave is expected to decline, which is C
Is the rise over?I think that the ascent ended with the creation of five small waves to complete the C wave and start a new, final and strong bearish impulse wave
AAVEUSDTIt is expected to drop to an area between the two specified areas, thus completing the formation of the final bottom of the currency
ADAUSDTWe are in a correctional area, not a motive rise, and this appears from the shape of the candles that have been moving horizontally for a long time, in addition to that the rise occurred in only three Elliott waves, so more declines are expected
Note: the analysis fails if the price closes in the highest area 0.397 usdt
Is the real ascension near?The first wave of five strong motive waves was created, then the current correction in the form of three downward waves, and it is expected that after the end of the decline, five strong upward waves will be made, so let us see
Watch out for the next dropThree waves within the fourth wave have been completed, and the Sidewave trend and discharge is now expected, and then a fall, until the end of a final, fifth wave.
Note: The decline is in the form of an Ending Diagonal wave C, with five intersecting waves
last alertThe decline from the top was in three waves, and then a corrective rise in three other waves. It is now assumed that the decline is in a five-motive wave.
Note: the analysis fails if the price closed the highest area 8.2 usdt
Update DYDXUSDTWe may be in a sub-corrective fourth wave that goes sideways, and then a fifth wave will follow
Note: the analysis fails if the price rose above an area 2.28 usdt
update FETUSDTWe may be in a sub-corrective fourth wave that goes sideways, and then a fifth wave will follow
Note: the analysis fails if the price rose above the L area 2.911 usdt
