What a signal!! Such a straightforward trade on the WTI futures using volume price analysis
Volume signals don’t come much better than this in the afternoon trading session for US futures, with the stopping volume clear for all to see!
00:12
Introduction and oil market overview
00:12
The speaker begins by confirming their microphone is now on and interacts briefly with the audience. They indicate their intention to start with an oil example, describing it as a straightforward, fundamental case for illustrating VPN (Value at Risk) concepts.
00:48
Oil price plunge and recovery analysis
00:48
The segment discusses a significant plunge in oil prices, dropping to just above $38 per barrel before rebounding to around $40.20 for the September contract. The speaker highlights this as a classic example of a volatility price pattern (VPN) and describes it as a clear, strong buying signal that is hard to miss. The analysis includes observing a price waterfall effect, with a crash below the volume point of control followed by initial signs of buying indicated by high volume and specific candlestick characteristics, suggesting a promising trade opportunity.
01:52
Volume and candle pattern signals
01:52
The segment discusses a significant bullish signal marked by a large hammer candle accompanied by a volatility trigger and massive volume, indicating strong buying activity from major market players. Following this, a minor pullback occurs on falling volume, suggesting it is not a reversal to a bearish trend but rather a temporary pause. The volume analysis shows that previous intense selling pressure has been absorbed, implying that sellers have been overwhelmed and buyers are gaining control, which supports the continuation of the upward move.
03:23
Volume stopping and market rally behavior
03:23
The speaker explains the concept of ‘stopping volume,’ likening it to a sponge that halts market volume and prevents a rapid price rally. This phenomenon typically results in a pattern where efforts to rally are met with selling pressure that absorbs buying, leading to consolidation. The discussion highlights how the market reaches the volume point of control, indicating a likely pause or sideways movement. A channel of downside support and upside resistance is identified, showing the market’s struggle to break through these levels.
04:21
The market experiences a brief retreat below the established support, accompanied by weak volume, before testing the level again and forming a trading platform. An injection of volume below this platform moves the market away from the volume point of control, pushing through a low-volume node quickly. Volume begins to build in a new region, suggesting that if prices rise above $40.30 per barrel, further upward movement could be expected.
04:49
Volume point of control and resistance levels
04:49
The speaker explains that breaking through low-volume price regions requires less effort compared to high-volume regions due to minimal resistance. The accumulation distribution indicator visually represents price levels by thickening lines based on how many times a region has been tested, indicating the strength of those levels. Minor levels are thin, while major levels tested multiple times appear thicker, especially when combined with volume points of control or clusters. The trend monitor has shifted from bearish to bullish, signaling a potential continuation of the upward trend.
06:19
Trend monitor and time frame perspectives
06:19
The segment explains how price action analysis reveals a continuing bearish trend, especially when observed across multiple time frames. Using a 10-minute chart alongside a 5-minute chart offers different perspectives on volume and price movement, highlighting areas of significant trading activity and resistance. The volume histogram on the 10-minute chart shows heavy volume concentration in a narrow price range, causing price to struggle pushing through resistance levels. The presence of wicks on the upper bodies of candles indicates repeated failed attempts to break higher. Additionally, slower time frames carry more significance than faster ones because they encapsulate more data over time, giving their signals greater weight in analysis.
08:21
Weight of slower time frames in analysis
08:21
The discussion explains how price movement significance varies with chart timeframes. Movements on shorter charts like 30-second or one-minute charts happen quickly but carry less weight compared to longer timeframes such as 10-minute, 15-minute, hourly, or daily charts. Congestion or resistance areas on slower timeframes hold substantially more importance because they reflect longer-duration price action. Daily chart patterns are especially significant due to the extended time period they represent. The example uses a five-minute chart to illustrate volatility triggers that can also appear on much shorter intervals, showing that price behaviors replicate across different timeframes but their impact varies.
09:19
Short-term volatility triggers and buying signals
09:19
The speaker analyses a rapid 15-second chart showing a price reversal after a significant drop, with a hammer candle indicating buying interest despite volatility triggers. The trend monitor signals a bearish phase, and although there is some buying volume around the current price region, the market is not showing strong rally signs. The speaker then plans to switch charts for further analysi
By Anna Coulling – creator of volume price analysis
Ready to Master Stock Trading with Volume Price Analysis?
Join The Complete Stock Trading & Investing Program by Anna Coulling and unlock professional-level insights. Learn to spot institutional accumulation, avoid traps, and build consistent strategies using VPA. Lifetime access, Quantum indicators, and real-market examples—transform your investing today!