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Warrior Trading // Ross Cameron // Day Trade Warrior

In this example here, what do you think this chart's going to do next? We've had a nice big green candle, a second green candle, a third green candle. Okay, we're getting a little bit of a pullback. Makes sense. It was due for a pullback.

A second candle of pullback. All right. Fine, what do you think is going to happen next? We have three choices. sideways, up or down.

I'm going to make a prediction that this is going to decline. The reason is, look at the biggest candle. The biggest candle was on light volume and as volume increased, the candles actually got smaller and smaller. That shows us that there was resistance and there were Sellers and there was a tug-of-war We'd like to see the opposite light volume and as volume comes up, the candles get bigger and bigger.

My prediction would be because of this volume profile and fairly heavy selling volume on these two candles that the stock is going to come back down. The chart's going to come back down round trip back to where it started.

By Stock Chat

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7 thoughts on “Chart analysis predicting a decline based on volume profile”
  1. Avataaar/Circle Created with python_avatars @tronghungdao251 says:

    ❤❤❤😮😮😮😅😅😅🎉🎉🎉

  2. Avataaar/Circle Created with python_avatars @definatelynotwin says:

    Thanks Ross! I have started to read your books and they are great! Planning on getting the next book soon.

  3. Avataaar/Circle Created with python_avatars @johnsyers8212 says:

    That's super helpful. I have not been paying attention to volume at all.

  4. Avataaar/Circle Created with python_avatars @bryan77727 says:

    thank you Ross Please don't stop

  5. Avataaar/Circle Created with python_avatars @Kvir2222 says:

    Thànks ross

  6. Avataaar/Circle Created with python_avatars @edgarvacaflor4980 says:

    Ross, love the presentation. Super simple and very EFFECTIVE.

  7. Avataaar/Circle Created with python_avatars @burner5673 says:

    If you could successfully predict charts from historical data then you would know something others don’t. We can always analyse past results but you know the saying… still interesting to predict but then this is couth gambling

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