Earlier this week, MetaQuotes unveiled the new ‘Time & Sales’ feature on its MT5 platform, which provides a real-time list of forex transactions. This feature can be accessed through the Market Depth window, giving clients information on buy and sell positions, trade execution times, execution prices and volumes.
To make these figures more visually appealing and easy to analyze, a histogram is used to indicate trade volumes while colors show the direction of the trade (blue for long positions and red/pink for short positions). Aside from that, the buy and sell trades are compiled in separate panels to help clients have a bird’s eye view of market interest.
Looks neat! How can I use this data, though?
The ‘Time & Sales’ feature can be treated as Level II quotes for forex price action, as these figures provide detailed insights on trading activity of market players at different price levels.
- Trading volumes can help you gauge how aggressive or conservative your fellow traders are, giving you an idea of how volatile price action could get.
- Trading volumes also allow you to see whether smaller or larger market players are getting busy.
- An increasing activity among buyers or sellers can indicate an upcoming rise or fall in price levels.
- Trade execution speed and higher volumes at certain levels can draw attention to the importance of those areas to other market participants.
- The data can also be exported to a CSV file for further analysis.
MetaQuotes noted that this information is typically used by short-term traders but added that longer-term players can also check these figures to see if they should be making any adjustments to their positions being left open overnight. For instance, higher market interest at nearby support or resistance levels can prompt a swing trader to adjust his stops. Increased buying or selling activity can even support the case for closing a long-term position early.
Do you think is ‘Time & Sales’ feature is something that can supplement your market analysis? Let us know what you think in the comments section below!