The forex & volume debate has been going on since the caveman did his first Fibonacci retracement. If you're not a believer in volume in forex that's ok, but this isn't a debate about whether the volume in forex is valid or not. Some of the bigger brokers (IBfx, XM, Axitrader) have reliable volume tick activity feeds.

VSA - Volume Spread Analysis

A good primer on volume and VSA (Volume Spread Analysis) is available here - Trade Using VSA (Volume Spread Analysis) @ Forex Factory.

Volume in forex is about measuring the cause versus the effect. Does the volume correlate with the price? In a nice trending move, is volume increasing on the 'positive' moves and decreasing on the pullbacks? Did volume spike at Support & Resistance? Did that tiny doji candle produce a massive volume? Volume in conjunction with candle price bars can tell you quite a bit of information.

I'd recommend reading and re-reading "Master the Markets" by Tom Williams (there's a version available by TradeGuider but they try and sell you their software).

Stopping Volume

Stopping Volume doesn't occur throughout each session, but it's worth being aware of. My take on stopping volume is when a large amount of sellers in an uptrend (or buyers in a downtrend) come in and literally "stop" the current move. On the chart this is usually a nice strong bullish candle with a decent sized wick on the top, which indicates the sellers coming in. Without volume on the chart, you wouldn't know a heavy amount of sellers have come into the market.

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