Nightime Volume vs Daytime Volume

Discussion in 'Trading' started by dafeeder, Nov 28, 2011.

  1. the majority of All trading occurs during the US session, after the 9:30 US open
    volume spikes on a 60 min chart can be seen at 4pm, generally the highest volume
    bars are the noon - 12 pm bar — talking about the ES here
    the 6E Euro fx contract which is the highest volume currency contract has about
    10% of the ES volume, and the volume is still highest during the US session tho
    a little earlier and has a wider spread of volume over the hours

    when the US has a holiday and no trading is taking place, it results in much lower
    volumes in non US markets

    the high volume peaks do not coincide with price peaks/valleys, so trading appears
    in a sense to be trend trading where positions are taken during the US session,
    but, price moves and some of them large, occur outside of the high volume period

    'manipulation' explains nothing
    if volume is the criteria, since there's 'no volume' during the after hours session
    the price imo is not being manipulated
    I've seen a couple of 5K orders hitting the 6E during the Asian session and they've
    moved the price about 30-50 pips/ticks over a period of a couple of minutes, but
    I've also seen a 12K order hit the ES late in the session and the price only moved
    down by a single tick: http://www.elitetrader.com/vb/showthread.php?s=&threadid=226053

    attached: 60min of the ES for Nov with a few p/vs illustrating relation to volume

    a lot of traders seem to place a lot of value and emphasis on volume and the use
    of the DOM, volume doesn't come into my trading system and it doesn't appear
    to me to be directly related to price movement, what do you think ?
     
    #11     Nov 30, 2011