Chart Types

Recent question about Chart Types

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I read your article on volume chart with interests and I am at a lost of what volume contract charts should I be using for my ES intraday trading charts.
I am currently using 4 multiple time frames namely Daily, 60 min all session, 15 min all session and 5 min all session chart.
When it comes to volume charts, I am not sure which volume contract chart should I be plotting? Is it V500, V1000, V 50, V5000 ?
How do I know which one is better, what others are using?

A little guide for me would be helpful. Thank You.

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What I have noticed is that the volume chart appears to be the most unpopular of all charts although I still regard it as one of the purest ways of building bar charts.

If you are using all session charts then I would suggest experimenting with volume charts that can replace those. Building bars based on volume shows that the weight and stength of the market has moved the price to that level and this is more reliable. You don't need to look down at the volume histogram to see if volume came with the move.

The short answer to your question "which is better?" is the one that provides you with the most accurate signals. "What are others using?" I really don't know as I don't know of anybody using volume charts. I personally have not had a chance to explore this area again since I wrote those articles so unfortunately can't provide any more advice at the moment. However, I will add to this topic if I uncover more information.

My suggestion is experiment with the different charts and see what you can find. Try paper trading for a week, for example, using 1000, 2000, 5000, 10000 volume charts and see if this improves your results.

I hope this helps.

Guy

Would you consider including VWAP for the emini contracts in your daily notes page? I'd like to use it in conjunction with Market Profile levels. Thanks.

I don't keep volume figures in those data bases so it would not be possible to calculate those figures. However, having said that, it is something that I've thought about in the past and I've thought about creating new pages that have that info. However, this won't be for some time.

Okay, thanks for considering it and for your great website.

asleep: you're very welcome. always a pleasure to receive such nice compliments

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Originally posted by asleep

Okay, thanks for considering it and for your great website.

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Damn, i never thought of looking at it that way, thanks.