Masterforex-V Training News: How using the volume it can be calculated the market several moves ahead?
In current trading, intraday trader needs to understand clearly which side of the capital is the large, and what actions it spends on the market. The principle is quite simple: the market maker is always working against the crowd due to the fact that he has to fulfill its volume due to the smaller parties.
Understanding the action of the major players - the key to a successful and stable trade. Synthesizing between the quantities of the different levels and principles of the ICA can be a high probability of track action in the market of "smart money".
Synthesis of various levels of volume shows us the areas where market orders have accumulated and where "Krupnyakov" could open positions.
Methodology ICA helps determine the market background and actions of big capital in relation to the crowd. To see the direction of the trend, we must learn to think like a "big player" to understand his actions and follow along with the "smart money" in the same direction. The same section we consider in terms of the methodology of the ICA: the figure below the key signals are marked with numbers 1-4
Point 1 - a powerful breakdown level of support and failure stops the crowd yesterday at the American session.
Point 2 - the crowd in hope of selling trend, the continuation of the fall. But doing it too fast, panic, not waiting for corrective pullback. Took advantage of "smart money" mean and sellers raising prices.
Point 3 - the remaining sellers try Shorts continuation of the trend, the volume low. What makes a market maker? Of course, satisfies their bid buys and sell orders after raises the price, and in the morning on Asia keeps the price high to until the small speculators do not panic and do not otstopyatsya.
Point 4 - yesterday's short-term sales start to panic and exit the market, we call it the shooting stops. However, where a crowd of foot, big business sells its sale, which all have been waiting for last night.
Understanding this logic gives understanding entry and work priorities in the current moment, and not the fact of the post. This allows you to be proactive and to calculate the market a few moves ahead. Naturally market collapsed down nearly 100 points, pointed in the Educational Department of the
Masterforex-V World Academy.
