Using Volume Trading Strategy to Win 77% of Trades. Looking for the best volume trading strategy ? Your hunt for the Holy Grail is over. With a win-rate of 77%, this can be one of the best Forex trading strategies that you’ll ever find on the internet. and it's totally FREE. With more than 30 years of trading experience combined, our team at Trading Strategy Guides has put together this step-by-step trading guide so you can take advantage of analyzing the strength of a trend based on volume activity.

The Forex market, like any other market, needs volume to move from one price level to another. The Forex market is the largest and the most liquid market in the world, with 6 trillion dollars worth of transactions performed on a daily basis. If you can master volume analysis, a lot of new trading opportunities can emerge. When we have a lot of activity and volume in the market, as a consequence, it produces volatility and big moves in the market.

That’s really what most traders need in order to make a profit trading the Forex market or any other market be it stocks, bonds, or even cryptocurrencies. While you can still make money even in tight range markets, most trading strategies need that extra volume and volatility to work. What is Volume Indicator Forex. In the Forex market, we don’t have a centralized exchange of total volume because we’re trading over the counter.

If we look at any trading platform like TradingView, they have a volume attached to their chart. But, since we don’t have a centralized exchange that volume is coming from the feed that TradingView uses. Each retail Forex broker will have its own aggregate trading volume. We can see that the volume in the Forex market is segmented, which is the reason why we need to use our best volume indicator. What is the Best Volume Indicator?

The best volume indicator used to read a volume in the Forex market is the Chaikin Money Flow indicator (CMF). The Chaikin Money Flow indicator was developed by trading guru Marc Chaikin, who was coached by the most successful institutional investors in the world. The reason the Chaikin Money Flow is the best volume and classical volume indicator is that it measures institutional accumulation-distribution. Typically on a rally, the Chaikin volume indicator should be above the zero line.

Conversely, on sell-offs, the Chaikin volume indicator should be below the zero line. What is the Difference between Chaikin Money Flow and Standard Volume. The difference between the Chaikin Money Flow and the standard volume is the math underlying each indicator. Secondly, the day trading forex with zones of the neck volume analysis is quite different as well as how the trading signals are interpreted. On the one hand, volume simply measures how much a given currency pair has traded over any given period of time.

Volume is used to measure the strength and weakness of a trend.