Assuming that volume analysis of various kinds is useful in technical analysis - would a market like index futures be any different than other markets like for instance commodities? Or single stocks?
With index futures, you're basically trading a basket of stocks or an index, which is widely traded in multiple markets, i.e., various ETFs, the stocks composing the index, program trading/arbitrage, hedge fund managers hedging/offsetting positions, etc.
In light of that, I've always been wary about reading too much into volume or making any inferences based on volume.
Or are these markets so perfectly correlated that volume in the ES is representative of what's 'actually happening' in 'the market'?
While I find climatic volume to be of use in analysis, I imagine it's the MM's making up the majority of the volume and attempting to remain flat that causes the volume to be too constant and of less value in analysis than say in stocks. I'm speaking of that in the Nikkei.