VOLUME is the ultimate Trading cheat code.

But, most people never use it in the right way – because no one ever taught them how.

Here are 10 psychological triggers to knowing Volume in a better way :

Traditional idea of Volume:

- if the price increases with an increase in volume, it is BULLISH
- If the price is increasing without volume, it is BEARISH
- if the price is falling with an increase in volume, it is BEARISH
- if the price is falling without volume, it is BULLISH
But this doesn't hold good every time!

Let's look at some examples.

Ex #1: Tata Consumer (Daily Chart)

Here the price has gone upside from 640 to 780 without any increase in the volume!
Ex #2: Axis Bank (Daily Charts)

Here the price has gone up from 420 to 580 without much increase in the volume.
Do you think it can happen only in an uptrend?

Look at these charts!

Ex #3: Reliance (Daily chart)

Reliance fell from 1620 to 1300 without an increase in volume!
Ex #4: HDFC (Daily Charts)

HDFC shares fell from 3000 to 2100 without much increase in volume!
Are you thinking this can happen only in "DAILY CHARTS"?

Have a look at these charts!

Ex #5 - Kotak Bank (Hourly Chart)

Kotak Bank fell from 1850 to 1740 without any volume spikes!
Ex #6: Asian Paints (30 min chart)

Asian Paints fell from 3280 to 2980 without an increase in volume!
Do you think these are some cherry-picked operators' stocks?

Most of the above stocks fall in Nifty-50!

It is easily understandable that these points bring a lot of doubt and uneasiness as it shakes the basic foundation of 'volume' itself.
Look at some indices (at least no one can operate the index)

Ex #7: Nifty Futures chart
Ex #8: Banknifty Futures
So, what are the Important Lessons to know about Price-Volume?

Lesson #1 Volume Colour cheats you!

If you don't believe, answer this question.
So, in your opinion, who has significant participation in the volume? Buyers or Sellers?

If your answer is ‘Buyers,’

Then there is a severe mismatch between your understanding and reality because you are giving more importance to the ‘green’ color code of the volume spike.
Sellers should be absent at the resistance to give further move on the upside

But look at the breakout candle. It has a selling wick that is about 70% of the body (means 70% of them are sellers)

You have developed a bullish view after looking at the big green color volume spike
Lesson #2

The price can go with more volume, medium volume, and less volume.

The price can go down with more volume, medium volume, and less volume.

Please don't believe this statement until you verify it on the charts!
Lesson #3 Analyze Each Volume Spike

In the below chart, the price is near the support trend line.

Do you think the price will go upside from here?
To decide whether the support will hold or not through ‘volume,’ we need to analyze the significant volume spikes.

I have marked Nine significant volume spikes on the chart, and I analyze these spikes below.
Spike 1 has some buying wick, but the price didn’t go up. Hence, I mark this spike as neutral.

Spike 2 – No wick, but the price fell the next day. Hence, I mark this spike as bearish.
Spike 3 – Again there is a big selling wick, and also the price fell later. Hence, I mark this spike as bearish.

Spike 4 – Not much wick, but the price fell on the next day. Hence, I mark this spike as bearish.
Spike 5 – Big selling wick, but the price went on sideways for the next day. Hence, I mark this spike as bearish.

Spike 6 – There is a slight buying wick, but the price fell on the next day. Hence, I mark this spike as neutral.
Spike 7 – Slight wick on both sides, and the price went upside on the next day. Hence, I mark this spike as bullish.

Spike 8 –Wick on both sides, but the price fell the next day. Hence, I mark this spike as bearish.
Spike 9 –No wick on both sides, but the price fell the next day. Hence, I mark this spike as bearish.

Now there are 9 volume spikes - 6 bearish volume spikes, 1 bullish spike, &2 neutral spikes.

Hence, there is a high probability of the price breaking the support trend line.
You can look at the result in the below image.
That's a wrap!

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Everything covered in this thread.
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अस्य श्री गायत्री ध्यान श्लोक:
(gAyatri dhyAna shlOka)
• This shloka to meditate personified form of वेदमाता गायत्री was given by Bhagwaan Brahma to Sage yAgnavalkya (याज्ञवल्क्य).

• 14th shloka of गायत्री कवचम् which is taken from वशिष्ठ संहिता, goes as follows..

• मुक्ता-विद्रुम-हेम-नील धवलच्छायैर्मुखस्त्रीक्षणै:।
muktA vidruma hEma nIla dhavalachhAyaiH mukhaistrlkShaNaiH.

• युक्तामिन्दुकला-निबद्धमुकुटां तत्वार्थवर्णात्मिकाम्॥
yuktAmindukalA nibaddha makutAm tatvArtha varNAtmikam.

• गायत्रीं वरदाभयाङ्कुश कशां शुभ्रं कपालं गदाम्।
gAyatrIm vardAbhayANkusha kashAm shubhram kapAlam gadAm.

• शंखं चक्रमथारविन्दयुगलं हस्तैर्वहन्ती भजै॥
shankham chakramathArvinda yugalam hastairvahantIm bhajE.

This shloka describes the form of वेदमाता गायत्री.

• It says, "She has five faces which shine with the colours of a Pearl 'मुक्ता', Coral 'विद्रुम', Gold 'हेम्', Sapphire 'नील्', & a Diamond 'धवलम्'.

• These five faces are symbolic of the five primordial elements called पञ्चमहाभूत:' which makes up the entire existence.

• These are the elements of SPACE, FIRE, WIND, EARTH & WATER.

• All these five faces shine with three eyes 'त्रिक्षणै:'.
“Why arghya (water offering) to the sun?

It is a common belief that by giving arghya to the sun one’s sins are washed out. It is written in the Skand-Parana that to take food without arghya to tha “sun is like committing sins

अथ संध्याया यदपः प्रभुक्ते ता विपुषो वज्रीयुत्वा

असुरान पाध्नान्ति ।।

The water used in prayer converts into vajra (hard stones) and destroys demons. The destruction of demons through sun-rays is figurative language. The demons for mankind are typhoid, tuberculosis, pneumonia etc. and their bacterias in water are destroyed by

the divine strength of sun-rays. The germs of anthrax, which survive years of drying, are killed by sun-rays in one and a half hours. Likewise, the harmful germs of cholera, pneumonia, small pox, T.B., which survive in boiling water are easily killed by the ultraviolet rays of

the sun, reactivated by water.”

In suryarghya, the devotees stand, in the morning facing the sun, take handful “attentively, you will see the seven coloured spectrum of light.
It is considered proper to offer water to the sun from a lota with convex edge. If the edge of the

pot, from which you are offering water to the sun, is concave, you will see the sun in a bigger form
In such a situation our eyes will not be in a position to bear the sun-rays. It would be better if the lota is of copper or brass, instead of a bright metal such as aluminium or

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