This indicator can be used to determine buyer and seller echaustion, churning and absorption of the candles. The end of buying activity is indicated when the VSA bar is red on a bullish candle while selling exhaustion is (End of selling activity) is when the VSA bar is black on a bearish candle.
Candle churn is shown when the VSA candle is green (Churn simply means that teh bulls and bears are head to head)
Candle absorption is when teh VSA candle is pink and it is in essence a combination of the following:-
1. Red and green VSA (buying exhaustion and churn are happening at the same time)
2. Black and green VSA (sellers exhaustion plus churn)
It can be used in conjunction with orderflow for confluence and a more precise entry. It is an NT7 indicator.
Candle churn is shown when the VSA candle is green (Churn simply means that teh bulls and bears are head to head)
Candle absorption is when teh VSA candle is pink and it is in essence a combination of the following:-
1. Red and green VSA (buying exhaustion and churn are happening at the same time)
2. Black and green VSA (sellers exhaustion plus churn)
It can be used in conjunction with orderflow for confluence and a more precise entry. It is an NT7 indicator.