Volume trading strategy without using indicators explained shared with you Secrets here we go.
What we have on our chart here is you'll see of course we have price at the top so these are price
bars up here and then we got volume bars down here now the first thing that I want to share with you
to help you really understand in depth of the strategy and why this works is that these volume
bars down here we call it volume and it is but I want to invite you to use a different term for it
to help you understand why it's so effective to use volume and let's substitute the word volume
for money right so money is what we're looking at down here money coming in and out of the market
so when you think of it from that perspective it really gives you a different angle a different
mindset a different understanding and you can apply some very clear logic to it to say all
right let's follow the money honey and you know what really that's what all of trading comes down
to is following the money more demand the supply prices go up more Supply than demand raises go
down period the end so trading is not really that complicated people over complicated with all kinds
of theories they impose upon it Etc indicators yada yada yada some of those things can be very
helpful I'm not saying that they they aren't but volume is the thing again when we think of it as
money coming in and in the markets money makes the world go round now in regular life for the rest of
Life money does not make the world go round I do not believe that I believe that love makes
the world go round but in the markets yeah not so much love especially for regular Traders so
we've got to look at the money and what I I have a little famous um slogan I love to quote myself who
doesn't and that is we're going to hook our way into the whales so I take my money and I put it in
my little red wagon here I tie one end of the Rope to the handle of my wagon put the other or tie the
other end of the Rope to the whales meaning the big money and let them take my money with their
trades and that's really it I mean that's trading in a nutshell really is that that complicated so
let's look at what we have here and so again when we think of it as money then Things become much
easier so let's see we got price going up up okay so let's look at this move here from here to here
and so with prey section you would say oh yeah we've got a higher high and we do definitely have
higher high so this is where pure price action Trading has its faults pure price action trading
pure I love how they use the word pure like they're the Virgin Mary of creating or something
um yeah is noso Bueno it really isn't just what price is doing is not the most important thing I
would actually say that volume or the money flow is more important than the price action so when
we look at this okay price is going up but what's going on with volume down here not a whole heck
of a lot in other words it's not increasing so again using your terminology is volume is
money coming into the market during this time and no we're not getting a lot of money coming
into the market right so we've got this high of volume over here and by the way you know people
use price action and they refer to higher highs as a way to measure price action which yes it is
but we can apply that same principle to volume so look at this do we have a higher high on volume
from over here no we do not we actually have a lower high so higher high on price
but actually a little bit of a lower high on volume meaning not as much money is coming
in so not as much demand remember it all comes down to supply demand imbalance so okay we got
price coming up but there's not much strength or money flow or demand coming into it so that means
who is not trading this the people with the big money and who has bigger money retailers
amateurs our institutions let's face it institutions trade with billions of dollars
in your average uh you know personally from home human pot trading at their kitchen table
or as their laptop or on their cell phone they're not trading with billions of dollars let alone
millions or even hundreds of thousands it's just not even close right it's a complete disparity
so but it's the institutions that are the professional Traders and by definition a
professional Trader someone who makes money so wouldn't you rather trade with the professional
money again hook your wig into the whales so I'm not going to hook my way again up to
the amateurs and when I see this coming up I'm saying oh the Market's moving up but on weakness
so if we look at this and that's what money is money shows strength or weakness coming into
the market and it's coming it's moving up on weakness now therefore what do we do well we
do nothing there we wait we say I'm not going to buy that move up instead what I'm going to
look for is when does the big money come in when do we make a higher high on a volume
and it comes in Let's cross that over there right there so now we get a big big volume bar creates
a higher high on volume and we got a big red bar on price so actually I don't want to trade with
the trend the trend is not my friend here this trend is not my friend this trend is my enemy
and I want to trade against the the price action and now we have a formal price action here in a
large wide range red bar but the key is it's like yes I want to use price and volume and
of the two I got to tell you volume is the more important because it is the money and people are
very serious about their money so when they bring in a lot of money that's money being
um taken out of their trading account that money is gone it's out of their trading account it's
out into the wild wild marketplace now and so that is actions actions speak louder than words
and in the market actions is are people sending their money out into the risky Marketplace and
here they are and so this I would rather not take this long I'd rather take this short and it comes
back down and down and down and down and down and down and down she goes and that is the kind of
trade that I like to take so what I want to share with you everybody who watches my videos meeting
you I give away one of my um my favorite tools it's my market entry timing indicator feel free
to get it at indicator webinar.com it's a recorded webinar by the way so you can watch it whatever
you want I give you the indicator to show you how to set up a charts and how to trade it so it is a
complete tutorial about timing your entries to the penny to the PIP to the tech it is my precision
and entry indicator it's actually the indicator I use on every single one of my entries whether it's
a transversal trade like this or whatever also highly encourage you to subscribe to the channel
and I'm going to do a little uh series on volume trading so this is just one part one of the series
so in order to get the the rest of the series just subscribe to the channel and click the little bell
notification and that way when I come out with further tutorials here on volume trading you will
get those as well oh finally in the comments below if you have any questions about this or
you know what I'd really love if you shared your favorite volume indicator share with the rest of
us what's your favorite volume indicator is in the comments below be very very curious to see that