Discussing the article: "Trading Insights Through Volume: Trend Confirmation"

New comment
 

Check out the new article: Trading Insights Through Volume: Trend Confirmation.

The Enhanced Trend Confirmation Technique combines price action, volume analysis, and machine learning to identify genuine market movements. It requires both price breakouts and volume surges (50% above average) for trade validation, while using an LSTM neural network for additional confirmation. The system employs ATR-based position sizing and dynamic risk management, making it adaptable to various market conditions while filtering out false signals.

Differentiating between real and fake market movements is a constant difficulty for traders in today's volatile financial markets. When mistaken for genuine trading opportunities, market noise—which is typified by transient price swings and false breakouts—can result in significant losses. This problem is especially severe in breakout trading, where success depends on accurately spotting long-term price trends.

This implementation offers an improved trend confirmation approach that blends price action and volume analysis to overcome these issues. Based on the idea that notable market changes are usually followed by above-average trading volume, the method uses volume as a crucial validation criterion. It helps weed out misleading signals and find more trustworthy trading opportunities by requiring both price breakouts and volume surges to line up. By ensuring that market moves are backed by enough trading activity, this dual-confirmation strategy seeks to improve trade quality and raise the likelihood of persistent price direction.

Author: Javier Santiago Gaston De Iriarte Cabrera

 
MetaQuotes:

Check out the new article: Trading Insights Through Volume: Trend Confirmation.

Author: Javier Santiago Gaston De Iriarte Cabrera

Hello Javier

Thanks for the EA based on " while using an LSTM neural network for additional confirmation".

However I have not found where and how did you use above additional confirmation in the EA.

Can you elaborate please.

 
@Anil Varma #:Hello Javier. Thanks for the EA based on " while using an LSTM neural network for additional confirmation". However I have not found where and how did you use above additional confirmation in the EA. Can you elaborate please.
The author is currently banned (don't know for how long) and will not be able to answer you.
 
Fernando Carreiro #:
The author is currently banned (don't know for how long) and will not be able to answer you.

Thanks for update @Fernando Carreiro

I was just wondering why his name was strikethrough. 

 
Anil Varma #:

Hello Javier

Thanks for the EA based on " while using an LSTM neural network for additional confirmation".

However I have not found where and how did you use above additional confirmation in the EA.

Can you elaborate please.

I'm a little confused about this too - It seems that the EA creates the volume predictor object with VolumePredictor *volumePredictor; and subsequently calls volumePredictor.UpdateHistoricalData(volumes); to update the prediction. But I can't find any call to volumePredictor.PredictNextVolume();

New comment