As far as "volume" is concerned, all I wanted to point out is the periodicity of "volumes" in forex
Time frames lower that 1 hour are, regarding that, nothing but noise (often influenced with simplest profit taking before the news and quick orders jumping in after the news). But 1 hour is giving us a good overall point of view of periodicity of trading activities (like the example bellow). Good indicator that helps to see that periodicity is the Marney volume indicator (the one used in the example). As you can see, deviations from usual daily activity are rather rare and are clearly showing market working activity - not market conditions changes
Here is one more example
Marney volume indicator is (extended version) was made to predict the volume, and by the end of the day we can check and the volume will fit closely to the predicted part - but it will not help us in trading. All this is done on a 15 minute chart, but intraday changes are taken into account when values are calculated - that is why the "predictability" of volume is so high using that indicator
This Marney indicator fails on M1-M5 heavily, even on D1 and higher (but this is clear). The key is comparing volume with PA, I mean where higher volume occurs and how big the candle body is. Volume alone is useless, with PA, S/R and trendlines it is really good, but it needs time to see throught the picture of noise and what lies behind the surface. The approach of trading compared to trend friends is of course totally diffrent, but I think it can't never be bad to know whether market will be actually bearish or bullish. You as programmer look on code and know what it will do when compiled (I don't mean the quality of the calculations). A normal guy looks on code and see letters and numbers without sense for him and when you ask him how he would call it, he'll most probably say "noise".
I have a feeling that we are talking about the same thing using different words
We can not use time frames like 1 minute and 5 minute for anything but guessing game. There is too much noise on those time frames. The volume-per-bar (and I mean the real traded volume, not the volume that we have in forex) on those time frames can not be taken as a representative sample of anything. We would need much higher real volumes to be able to conclude anything from them. This way, those time frames are more or less left to momentum traders and gamblers
PS: even on 5 minute charts, statistical deviation from volume is within expected bounds. So, even on 5 minute charts that Marney volume indicator is behaving as expected. Events like FOMC are highly predictable as deviations, and can not be taken as an evidence of calculation failing, since their periodicity is very low (they happen only now and then) and we even do not need indicators to predict high activity in times like that
Can you add alert in this indicator? When the arrows and dots on divergences ... And Alert separately on two types of divergence!
Hello Yanka, will add the alerts should be done later today.
Not talking about the local prediction error at FOMC and I'm quiet sure that we don't mean the same thing. It's difficult to put it in words what you see, when you look on the chart and compare Volume and PA (same when a programmer looks on code or an engineer looks on a technical drawing or signal processing chart). You get high possibilities, that you see that the market turns before the event actually takes place, and that very precisely. I don't speak about gambling at all, I mean predicting by your own with a rate of maybe 80-85%, but you know very fast when you hit the other 15-20%. But we better end it here, aggreed? I respect your point of view and I have mine, and I know that both are approved.
i think opposition party is best for any governing body or for any productive work if thats thinking/analyzing and working with positive productive way,and we all here doing this,we want search out the ways that give us plus knowledge and experience and productivity of the work/trading......and i was learning and enjoying your expert words,one thing is clear,nothing can be see with one equal eye,man to man differ but logic is winner.
but i dont like .... agree agree...this way a pretty nice lecture got stop/finished.
Where is that Marney volume indicator posted?
Here in that thread: https://www.mql5.com/en/forum/general