Renatogrant

As a newbie, I have a question which i hope you guys and your related experiences can answer for me.

I have been attempting to incorporate VSA into my trading strategy, i trade the s&p emini contract intraday and have been studying VSA techniques for about 3 months.

As i am based in London, the market in the US dosen't open until 2.30pm gmt.

My question is this, prior to the US open, is the market effected by the so called 'professional' or 'smart money'? I notice the volume very low prior to the US open but is there not smart money in play by professionals or trading syndicates in Asia for example?

I am asking because i want to understand wether my actual trading should commence once the US market opens ( 2.30pm gmt) or are there actual opportunities to trade prior to the open using VSA?

I work off 15 min candlestick charts and have 30/60/daily/weekly in the background. I use trendlines, S&R and i fing using volume and price action compliments greatly. Reading up on VSA on IT has helped me hugely and i thank all who have contributed and assisted those such as me with your knowledge and understanding.

What may appear simple to those with experience can often be confusing to those with little and i appreciate experience is developed over time but if you guys can help clarify my confusion regarding the above i would appreciate it greatly.

Kind Rgds
Renzo

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slow to learn

LOW VOLUME IS SMART MONEY'S PLAY GROUND. SO BE VERY CARFUL DURRING THOSE HOURS!

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Renatogrant

Thanks for the reply. Can you elaborate?

Are you saying smart money is active during pre market trading or just watching after hours traders move the price around waiting to pounce when price hits a key level?

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slow to learn

Yes smart money is active after hours and since volume and price action is the real only way to see smart money low volume give them all the advantage. If you have ? about VSA privite message Magic he is not allways around but if you PM him you will get his atten. Also if you havent already look at his stuff. It was an eye opener for me. http://www.informedtrades.com/members/magic/

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Simit Patel

here is a link to magic's supply and demand course that STL referenced.

here is our vsa discussion archive, and the vsa discussions in our blogosphere, which may also be of interest.

what market are you trading? i'm not a daytrader myself, but most of the daytraders i've encountered who have had success focus on the hours with the most volume. this is often during the opening hours of a market session.

just my opinion, but there are others here who are more qualified to speak on this topic.

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Magic

Hi Renatogrant,

Slow is right on. SM uses low volume periods to run tests because it doesn't take much Effort (money) to get Results. High volume is when the herd has become involved. As a group, the herd has more money than SM so the effort to move a high volume market can potentially be very costly for them. High volume is confirmation that a test or trap has worked and caught the herd to move the price.

Check out the course Simit posted. It also has a lot of Wyckoff which is the foundation Williams' VSA is built on.

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sphereless

Hey Magic,

Can you recommend any books on VSA? Thanks.

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Magic

Do you have Tom Williams' Book "The Undeclared Secrets of the Stock Market". As far as I know, this is the only book on VSA.

__________________
My Blog: Stock Market Magic
SDA Course: Stock Market SYNERGY

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sphereless

Thank you very much.

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Renatogrant

Thanks all for the terrific advice. I have read all your material Magic which is enlightening to say the least. Just wanted to figure out if it made sense for me to commence trading ( e mini futures) here in London at 9.00am gmt or should i wait until 2.30pm gmt when the US opens.

Thanks for the links Simit, will re-visit and re-read.

Can i ask another question of you guys. I do like Todd Kruegers take on Wycoff/Tom Williams volume analysis as i use candlesticks myself, Having read your posts on the subject i realise now that he is ex- Tom Williams Tradeguider CEO. Having said that do you consider his take on the Candlestick/volume analysis an advancement on VSA or just a way of forming another company without infrindgement?

Successful people do the things un-successful people dont want to do.
Someone somewhere said that

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