✦ Technical Analysis
Volume Analysis Volume is the effort behind every move. Read participation against the average, confirm or reject what price claims, and learn the one edge this stage owns — telling a real breakout from a low-volume fake.
Stage 25 of the TradeWize technical analysis track: read volume against its own average and tell a real breakout from a low-volume fake.
Start Lesson 1 · Why Volume Matters → What you’ll leave with 10 lessons · 9-line playbook ⌄ 1 Volume is the effort behind a move. Judge each bar against the chart's own average line, and expect the effort to match the result. 2 A healthy trend has heavy volume on its pushes and light volume on its pullbacks. A new high on fading volume is a warning. 3 A spike is a bar 2-3 times the average. At a breakout it starts a move. After a long run, it often ends one. 4 OBV adds volume on up closes and takes it away on down closes. A new high that OBV doesn't match is a warning. 5 A/D weights each bar's volume by where it closed in its range. It can climb while price is flat, which shows quiet buying. 6 CMF sums 20 days of money flow around zero. Take longs only above zero, and skip breakouts it doesn't back. 7 VWAP is the average price paid. Trade with the side price is on, and only a close across it counts. 8 The POC is the most-traded price, and the value area holds 70% of the volume. Fade failed pushes past its edge. 9 A real breakout closes over the top on two to three times the average volume. Skip quiet breaks, and fade them if they fail.