This entry was posted in Trading Ideas and tagged candle volume charts, volume price analysis. The candle volume chart types are available on the Fyers One, Zerodha Pi and KITE trading Terminals. By analyzing the candle volume chart you can know if it is really important you close your position or average it down. This is a very important chart-type for breakout traders.ģ) Has it happened that after you enter a trade, the price goes the wrong way and then moves in your direction after you have closed your position ? Well, the candle volume charts is useful in these situations too. Well, the candle volume charts helps to analyze the visual depth of volume for the corresponding price movement. This is when the market makers quickly fill up the top bids or asks to manipulate the price to trap you in. It clearly identifies price movements which happen on very thin volume. It is a good analysis tool for entering or exiting trades at the right time.Ģ) Candle volume charts helps you identify those fakey breakouts that market makers play on you. I have found the candle volume charts very useful in these situations:ġ) The candle volume charts helps you identify the strength of reversal candle patterns at important price points. When using the candle volume charts, Imagine yourself standing on the trading floor. The Candle Volume chart helps you feel the aggressiveness of the buyers and sellers on the trading floor to know who has an upper hand in the market.Īlso, helps you get the real sense of price movement, whether price movement its based on volume or is it the market makers filling orders at bids or asks to manipulate the price. Helps you assess the real Demand and Supply situation on the trading floor. Candle Volume Chart helps you get a visual depth of market volume and its affect on price movement.Īnalyzing the market on a candle volume chart is like watching the trading floor from a birds eye view. This chart type is very useful for intraday traders trading on lower time frames like 1 min. Candle Volume charts makes Volume Price analysis much easier. Price and volume action is plotted on the same candle stick. The candle volume chart type is overlooked by most daytraders.