meny people doesn't know how volume works in trading , they fall for for fake breakout and lose all their money.
Today I am gonna tell you how volume works.
Frist you need to change some setting so you can understand it easily;
1: go to your tradingview tab and click on Vol ( as shown in image no 1 ) then click on the settings icon.
2: Now set the MA length to 10 ( by default it's 20 ).
3: Now go to style option and enable Volume MA
Now the real part begins;
We select $SOL to understand volume easily
here at the image no 4
look at the rectangle shape volume the MA line is above the volume that means the volume it's not strong , chart gives a double top pattern but it still didn't dump because the volume wasn't strong enough.
now look the the circle shape volume the volume was above the MA line so it pump soo hard even without a bullish pattern.
So basically volume is the number of trader who are trading.
bonus tip; if the price is going high but the volume is below the MA line then don't buy it ( works same as bearish pattern )
If you find this helpful then also shere this to your friends and family.
after pumping for few hours now this coin resently break the rectangle pattern but but but the volume is not bullish instead the volume went down a little bit.
Meny new traders will accuse this is a real breakout but it is not. don't open a long trade instead open a short trade and set terget to 4.100$
after it reaches above the yellow ma in boll indicator it pumped too much but not the bullish volume is low and bearish breakdown is about to come at any movement.
don't open a long trade on this coin for now instead open a short trade
$KAITO is about to fall soon , I got a trading plan to make profit from this bearish breakdown.
Buy at 0.3050-0.3070
Take profit is 0.3000 , 0.2950
and sl is 0.3120
Kaito is currently on a box pattern zone after it touches resistance zone it comes back to support zone and after it touches support zone it went to resistance zone.
But these is a catch ,
The bullish volume is not high enough to break the resistance zone but the bearish Volume is high. There's a high chance that this coin will dump soon because the trend is bearish
From few days $PROM is pumping continuously with high bullish volume. It gives 350%+ return in 90days that makes this coin perfect to buy for long term.
Buy this coin if you want something safe and profitable coin to hold.