PVT Indicator: ALWAYS Know When Smart Money Enters/Exits The Market - Phụ đề song ngữ
To become profitable with trading, it's important to know how much money is entering the market and how much money is exiting the market.
Along with this, it's also important to know the quantity of these transactions, meaning the volume in the market.
There is actually an indicator that takes into account both of these crucial market concepts,
the indicator was created by a famous technical analyst named Joseph Granville.
Granville believed that volume was a critical component of market analysis and that changes
in volume could reveal important information about price trends and potential trading opportunities.
The PBT indicator was one of his solutions to this idea,
this indicator, also known as the price volume trend indicator measures the momentum of buying and selling pressure.
Showing us when price-adjusted bullish volume outpaces, price-adjusted bearish volume.
So in today's video,
we will be showing you exactly how the indicator works and how it can be used to enter into extremely profitable positions.
Let's first add the indicator to the chart.
Head over to the indicator search tab and search for the price volume trend indicator.
Select the indicator made by EverGet and add it to the chart.
Now let's take a look at what the different components of the indicator are and how they work.
The first component of the indicator is the PVT line, this is the main component of the indicator and shows us the price-adjusted volume.
The most basic way of reading the indicator goes as follows,
if the PVT line is red and moving in the downward direction it indicates that there is selling pressure in the market.
This means that the number of sell orders is increasing and traders are willing to sell their shares at lower prices.
So, if this occurs, we can assume that the price will be moving in the bearish direction.
If the PVT line is green and moving in the upward direction it indicates that there is buying pressure in the market,
meaning that there is a higher chance for a bullish move to occur because of the number of buy orders increasing and moving to a higher price.
If you have used the pvt indicator before,
you may have noticed that the current indicator we added to the chart looks a bit different than the original one.
This is because this indicator is the newer and improved version that has a second component.
This component is the signal line.
As you can see with the original version of the indicator it was hard to tell when
the PVT line was moving in the upward direction or when the PVT line was moving in the downward direction.
However, the signal line makes it a lot easier to see when bullish or bearish pressure is entering the market.
Now that you know exactly how the indicator works,
let's take a look at how we With the most basic method,
whenever the PVT line crosses above the signal line, it indicates that the PVT line is moving in the upwards direction.
This causes for the PVT line to turn green showing us that buying pressure has entered into the market.
The opposite is true when the PVT line crosses below the signal line.
This indicates that selling pressure has entered the market causing for the PVT line.
A different method,
which will usually be used by more experienced traders,
because of the increased accuracy involves looking at the differences between the price and the PVT indicator.
Here we can see that the price is making lower lows, this shows us that the price is an aberrant.
However, if we take a look at the PVT indicator we can see that higher lows are being made,
this indicates that the selling pressure in the market is decreasing, despite the price of the asset continuing to fall.
This divergence between the PVT indicator and the price action can suggest that the price of the asset is oversold and may be due for a correction.
If we take a look at the price action after this divergence,
we can see that the price indeed made a and started moving in the bullish direction.
In this case, the price is moving in the upward direction, making higher highs.
However, if we look at the PVT indicator, we can see that lower highs are being made.
This means that the buying pressure is decreasing while the price is still rising.
This divergence makes it likely that the price will make a bearish correction.
As you can see after the bearish divergence formed the price indeed headed in the downward direction.
Now that we know the different methods of reading the indicator, let's take a look at how we can enter into positions with the indicator.
Let's first add some extra indicators to the chart to complete the strategy.
Head over to the indicator search tab and search for the 10 moving averages indicator.
Select the indicator made by Himanshu and add it to the chart.
The final indicator we will be adding to the chart is the volatility indicator.
Search for the relative volatility indicator and select the indicator made by Verifid.
Now let's change the indicator settings.
First head over to the moving average indicator settings and click on the input button.
We will be adding three EMA's to the chart.
This means that we will add 150-period EMA, 1-100-period EMA, and finally 1-200-period EMA.
Make sure to also change the colors of the EMA's to make it easier to see.
Now let's change the PVT indicator settings.
Click on the Style tab after that changed the opacity of the plots to make it easier to see.
Finally, we will be changing the Relative Volatility indicator settings.
Click on the Settings tab and navigate to the Style settings.
First, we will be unchecking the three filters.
Since we will only be using it to see the volume amount, we will also be changing the colors to gray.
That was all that we needed to do.
Now let's take a look at how we will be combining the indicators.
We will be using the EMA's to determine the overall trend.
This means that we will only enter into positions that align with the indication of the EMA's.
Next, we will be using the PBT indicator to find the entries, the PBT indicator will provide us with the buy or sell signal.
Finally, we will be using the relative volatility indicator as a confirmation to make sure there is enough volume in the market.
Now that we know exactly how each indicator will be used, let's take a look at entries that can be made using them.
We are currently looking at GBPUD on the 15-minute time frame.
Firstly, we can see that the price is trading above all of the EMA's.
indicating that both the short-term and the long-term trends are bullish.
If we take a look at the PVT indicator, we can see that the sellers briefly outpace the buyers.
However, we can also see that after a few candlesticks the buyers outpace the sellers again,
showing us that there is buying pressure in the market.
We also see that this aligns with the price pulling back to the 50-period EMA before bouncing off it.
Finally, if we look at the relative volatility indicator, we can see that the bar is greater than both the filter and the moving average.
This means that there is sufficient volume in the market.
All of these signals indicate that it's a good idea to enter into a position.
So let's enter into a by position.
We will be placing the stop loss at the recent swing low.
For the take profit, we will be targeting a two times risk to reward Now, let's see how the trade plays out.
Here we can see that the price is in a downtrend.
We know this because we can see that the price action is trading below all of the EMA's.
During the downtrend,
we see that the price made a pullback to the EMA, however, after the pullback the price closed below the 50 period EMA again.
If we take a look at the PVT indicator, we can see that the buyers were temporarily in control, overpowering the sellers.
However we can now see that the sellers are in control
We can also see that during the most recent bullish overpowering the volume on the volatility indicator was extremely low,
showing us that there is not enough bullish volume for an uptrend to start.
However, if we take a look at the relative volatility indicator now, we can see that there is a high amount of bearish volume in the market due to the tall bar with a greater value
than both the filter and the moving average line.
all of these signals indicate that it's a good idea to enter into a position.
So let's enter into the cell position.
We will be placing the stop loss at the recent swing high.
For the take profit we will be targeting a two times risk to reward ratio.
Now let's see how the trade plays out.
The indicator is also great for entering into reversals, as you can see here we have added the premium Luxogo reversal zones indicator.
For this strategy we will first wait for the price action to reach the reversal zone,
then once this happens we will wait for the PVT indicator to turn red, confirming the signal.
If this occurs, we will enter into the position.
We will be placing the stop loss at the recent swing high.
For the take profit, we will be targeting a two-times risk-to-reward ratio.
If we wait for the price to reach the reversal zone and then enter into a position once the PBT confirms the signal,
we can enter into extremely profitable reversal trade.
Ngôn ngữ dịch
Chọn
Mở khóa nhiều tính năng hơn
Cài đặt tiện ích Trancy để mở khóa nhiều tính năng hơn, bao gồm phụ đề AI, định nghĩa từ AI, phân tích ngữ pháp AI, nói chuyện AI, v.v.
Tương thích với các nền tảng video chính
Trancy không chỉ cung cấp hỗ trợ phụ đề song ngữ cho các nền tảng như YouTube, Netflix, Udemy, Disney+, TED, edX, Kehan, Coursera, mà còn cung cấp dịch từ/câu bằng AI, dịch toàn văn sâu sắc và các tính năng khác cho các trang web thông thường. Đây là một trợ lý học ngôn ngữ đa năng thực sự.
Trình duyệt trên tất cả các nền tảng
Trancy hỗ trợ tất cả các trình duyệt trên tất cả các nền tảng, bao gồm tiện ích trình duyệt iOS Safari.
Nhiều chế độ xem
Hỗ trợ chế độ xem rạp, đọc, kết hợp và các chế độ xem khác để có trải nghiệm song ngữ toàn diện.
Nhiều chế độ luyện tập
Hỗ trợ luyện viết câu, đánh giá nói, trắc nghiệm nhiều lựa chọn, viết theo mẫu và các chế độ luyện tập khác.
Tóm tắt video AI
Sử dụng OpenAI để tóm tắt video và nắm bắt nhanh nội dung chính.
Phụ đề AI
Tạo phụ đề AI chính xác và nhanh chóng trên YouTube chỉ trong 3-5 phút.
Định nghĩa từ AI
Chạm vào từ trong phụ đề để tra cứu định nghĩa, với định nghĩa dựa trên AI.
Phân tích ngữ pháp AI
Phân tích ngữ pháp câu để nhanh chóng hiểu ý nghĩa câu và nắm vững các điểm ngữ pháp khó.
Nhiều tính năng web khác
Ngoài phụ đề song ngữ cho video, Trancy còn cung cấp dịch từ và dịch toàn văn cho các trang web.