online trading for beginners - price actionand volume online trading for beginners and more at http://daytradervideo.comso, now that we have some of the basics out of the way for online trading for beginners,let's now begin to talk about a more advanced beginning topic -- volume and price action.why are each of these so important? they really work hand in hand.the simple reason is that they practically show us what the market is doing and how wehave to adjust our plan. understand that this alone is one of the single most importantreasons that traders become afraid. they aren't able to identify that the markethas just begun moving differently and therefore do not have plan b ready to go. so, let'sbegin with the very first reason you might
begin to execute plan b.online trading for beginners when there is a great deal of volume and volatility inthe market you will see that the price bars actually print at a faster speed then whenvolume is very low. what exactly does this all mean?well it means that there are less transactions going through in the market. meaning thatless people are participating or less people are placing orders. when this is the casethe market is moving very slowly. in fact trades tend to take a long time to actuallywork. if you've seen my other videos you'll hear me say, "i was in this trade for justunder an hour." that is not a normal occurrence. it's not something we want to see.it typically means that volume is very low
and not many people are participating in themarket. when this happens we not only want to be extremely selective about the tradeswe take but, we also might be better off quitting for the day (plan b). after all we are daytraders and we'd really rather only be in a trade for minutes. we don't want to be holdingfor very long. the opposite is somewhat true for marketswith high volume and volatility. there are extreme cases though where too much volumecan be very erratic. these are also markets we'd rather just sit and watch. but typically good volume and volatilitymeans bars are printing at a good speed and we have many trade setups that take minutesto work. no having to sit there and watch
paint dry.let me know if you liked this video and what else you'd like to see. in the last videoin this series we'll be covering putting this all together.
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