New to trading, looking for some advice!

[dbphoenix]

Eurgh, I'm breaking my own promise not to reply and i'm getting caught up in the pedantry. As you yourself admit, professionals focus on supply/demand imbalances. Volume profile is the best way to see this (uhoh here we go another chance for you to interject with some waffle THAT DOESN'T HELP A NEW TRADER ASKING FOR ADVICE).
I apologise profusely for saying that all professionals use volume profile (to be pedantic I said VOLUME not MARKET profile-see how annoying it is?), but as you pedantically admit, they use similar deliberations which VOLUME profile provides the same/similar readings (uhoh another chance for a pedantic argument that helps no-one).
Now please, try to say something that is helpful, specific and actionable on this thread to a new trader asking for advice. Try it! Please!!
I really am done now.
In all sincerity, have a nice day and happy trading.
Bootsyjam

"Find out that they all use market and volume profile to help their trading analysis." And "volume" and "volume profile" are quite different.

Disagreeing with you is not pedantry. "Actionable" does not necessarily mean open an account, leverage yourself, and begin trading fx with no trading plan whatsoever. "Actionable" can also mean reading at least some of the wealth of information that Tim Wilcox has put together here at T2W, particularly with regard to First Steps.

I pay a great deal of attention to volume and I trade according to imbalances in demand and supply. I am not a fan of expensive and unnecessary software, including Market Profile, though some people love it. Anyone who wants to know the specifics of how I trade has only to read my threads. Otherwise, again, explore First Steps.

And to the OP, who appears to have fled, pay particular attention to the first six posts.

Db

 

[zaysev36]

Now this makes more sense. So basically the futures market is second to fx causing it to have a more stable and predictable curve, right? That's interesting.

 

[bootsyjam]

Now this makes more sense. So basically the futures market is second to fx causing it to have a more stable and predictable curve, right? That's interesting.

Ummm I'm not quite sure what you mean zaysev! The fx futures markets will exactly mirror the moves in the spot fx markets, otherwise there will be arbitrage opportunities. This is exactly the same with the dow futures/emini SandP futures who all exactly mirror the main indexes that they are based on (albeit with slightly different pricing levels as it's a futures contract).

The difference with the fx futures markets is that whilst you can still use volume profiling and the volume going into them, the amount of contracts traded on the futures fx market is relatively light in comparison to others. As such, the use of volume and volume profile as a guide is lessened. Just checked for you-the eurostoxx has done about 2mill of volume today, EURUSD, which is by far the heaviest traded forex futures contract, traded about 200k contracts today. This liquidity is very important in terms of getting accurate ideas of order flows and levels where people are/are not participating, whilst it is also important in fast/unstable markets. You want to trade the most liquid markets as you can in case things go wrong, as you will want there to be more people looking to take your trade off your hands if things go wrong.

 

[zaysev36]

Ummm I'm not quite sure what you mean zaysev! The fx futures markets will exactly mirror the moves in the spot fx markets, otherwise there will be arbitrage opportunities. This is exactly the same with the dow futures/emini SandP futures who all exactly mirror the main indexes that they are based on (albeit with slightly different pricing levels as it's a futures contract).

The difference with the fx futures markets is that whilst you can still use volume profiling and the volume going into them, the amount of contracts traded on the futures fx market is relatively light in comparison to others. As such, the use of volume and volume profile as a guide is lessened. Just checked for you-the eurostoxx has done about 2mill of volume today, EURUSD, which is by far the heaviest traded forex futures contract, traded about 200k contracts today. This liquidity is very important in terms of getting accurate ideas of order flows and levels where people are/are not participating, whilst it is also important in fast/unstable markets. You want to trade the most liquid markets as you can in case things go wrong, as you will want there to be more people looking to take your trade off your hands if things go wrong.

Ok, now I get it. My bad understanding you wrong first time and thanks for taking your time to answer some silly questions

 

[bootsyjam]

Ok, now I get it. My bad understanding you wrong first time and thanks for taking your time to answer some silly questions

They're not silly questions at all, it's either something that you know or you don't. I learned by asking the same questions (or looking for them) and reading the answers given just like you