Volume Analyzer

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The volume analyzer gives you an easy-to-read interface of one of the most powerful and yet overlooked information. Our volume analyzer crunches all the volume data for you and returns a simple visual analysis if the volume is creating a bullish or a bearish moment, also some of our modes offer the option to know when the trend is losing strength or changing direction – Let’s study this indicator deeper.

Volume Analyzer Settings

Modes can be changed here.

Scalp Mode

Green areas indicate more buying volume and red areas indicate more selling volume. Areas that appear choppy shows a weakness in the current trend and a reversal is likely.

In the USD/JPY chart, small green areas start appearing during the downtrend. Eventually, this leads to a nice uptrend on December 10th.

This is our fastest and most sensitive volume indicator, that will move very close to real volume data changes – this can be really fast and precise, which is good for scalping and small trades, but can generate a lot of noise and choppiness if you’re considering longer positions, this could be confusing.

Sine Wave Mode

In this mode, we have the orange color in addition to the green and red you have already seen before. The orange areas here indicate a transition period. While the red areas remain bearish and green areas are bullish. This mode works better in bigger time frames.

The premise of this indicator model is that everything comes into waves, thus, everything that goes bullish should go bearish at a time, which is obvious, but this indicator focus on highlighting the transition areas so you know where are the best places to entry/exit during those directions changes.

Long Trend Mode

The Long Trend Mode does away with some of the noise and gives you an overall picture of what is happening. As with the Scalp Mode, areas that get choppy is an indication of a future direction change. This mode might be a little slower in terms of entry points since we had to sacrifice speed to get rid of noise and poor signals, but if you’re looking for long trades this is a very good option for you.

A very good way to see volume is from the CUMULATIVE perspective, everytime you start to see some choppiness in a clear trend, that means that the distribution is slowly overcoming the accumulation or buyers’ strength. In plain English: a reversal.

Precision Mode

As the name implies, this mode gives you a more detailed look at what is going on. The green still means more buying volume and red means more selling volume. The notable difference is the different shades of the colors.

The lighter the color is, the weaker the trend is. When a trend starts to change it tends to be the weakest. A stronger trend can be found when a dark shade starts to form and a reversal can be forecast when the darker shades start to become lighter.

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