A nice congestion phase building on the 5m chart for the GBP/JPY and one which introduces several elements of volume price analysis. First we have support and resistance here we see a strong region of resistance building with the red dashed line. This is on the accumulation and distribution indicator which displays graphically the strength of such regions. In other words the thicker the line, the stronger the region, so a strong ceiling of resistance building at 129.75. In addition we are also trading at the volume point of control at 129.52. This is the fulcrum of the market at present with no bullish or bearish bias. In other words the market is in price agreement where we have the heaviest concentration of volume. The key now is to wait for the breakaway from this region which will come - it's a question of being patient and waiting. And on the move away we then move to consider the volume...
Strong safe haven flows into the Japanese yen confirmed on the hourly chart of the Currency matrix with heaviest flows into usd/jpy and cad/jpy, the latter also suffering from a sharp fall in oil prices. The matrix indicator ranks the performance of all the 28 pairs featured and highlights potential oversold and overbought trading opportunities.
Note also the numbers next to the pairs and the values reflect the strength of the move. In other words, the higher the value the bigger the move.
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https://youtu.be/5XLzU7sSBO4
As traders volatility can be your greatest enemy, but with the Quantum volatility indicator you can now not only see it trigger in real time, but also have the confidence to take cool headed trading decision. The indicator works on all time frames and across all markets, and in this video you see on the MT5 platform.
By Anna Coulling
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