Very interesting... Do you use Jigsaw Software, or L2 Order Book, or Delta Footprints Or... ??? To watch the FX Bank order flow ???? Thanks... Edgy..
As I wrote in previous post, "FX is decentralized and fragmented market." Google "fx is fragmented" and you'll see that @trismes is wrong. There is no accurate FX volume, there is no L2 in FX, and the currency futures market is too insignificant vs the spot market Regarding your question, by "learn to identify the bank order flow", I meant to learn to read “order flow” by analysing the FX charts because in FX the Pro money stands out far more than it does in stock, and this will give you more accurate readings than volume or order books on futures. In FX you do it by identifying strong supply / demand (S/D) imbalances on the charts, and then assessing those zones in terms of true PA rejection vs PA consumption, false breaks vs retests of those SD zones (there is always concentrated order flow and cluster of stops around those zones), PA at location history, PA preceding the rejection bar, identifying the price caps (consumption of opposing S/D zones) etc. Putting things like this together helps to identify the order flow. Just like with everything else in trading, nothing is black and white. There is no access to order flow in FX due to the lack of central exchange and fragmentation, and because of the Pro money creating very distinct patterns on the charts, the best way to identify the strength/weakness of the order flow is by analyzing those patterns caused by the banks and ignoring the rest (noise). I'm aware that things are easier said than done, and unfortunately it takes lots of time, effort and research to identify these things.
It is fragmented, meaning you'll never get 100%. But just because there are multiple venues dark pools, internalisation etc to say there's no volume is nonsense. CLS settle more than 50% of global fx spot flow, thus have the gold standard in reporting. EBS and LSEG have their own volumes, a subset of this. And yes futures is much smaller at about 5% of all volume so not of interest to me but if anyone finds it useful, more power to them. When someone poses a sensible question we've got Maxinger piping up with CFDs are irrelevant which is totally irrelevant, and you lording it over someone for pointing out there IS volume available. No need.
PPC is right, Forex is an OTC market. Meaning that a large volume of transactions do not happen in real time. What makes volume analysis for Forex totally useless. If you want to trade Forex you have to look at other drivers like interest rates and central banks' policies. Using Technical Analysis in Forex markets is probably the most useless thing that you can do in Trading. That's why is heavily promoted.
1) No, that's not what OTC means. And all electronic orders are reported immediately (the majority). 2) No you need a hell of a lot more than that unless you're currently in the TRY carry. 3) Not relevant. eesh. Man someone else can take this over.