this is Larry Williams a Trader that has a multi-million dollar net worth however what is interesting about Williams is that he was able to take ten thousand dollars and turn it into over 1.1 million dollars in just 12 months meaning that he had returns of over 11 000 in today's video we will be going over and showing you the exact indicators strategies and trading methods that were used by Larry Williams the most common strategy that is referenced when talking about Larry Williams is the LW volatility breakout strategy this is a strategy that is based on the highest and lowest prices of the previous trading day let's first add an indicator to the chart navigate to the indicator search Tab and search for the donchian channel indicator select the indicator made by trading View and add it to the chart before we change the indicator settings let's first properly understand what the strategy is this strategy is based on the LW volatility breakout strategy when using the strategy we'll be looking to enter into a position based on if the price breaks above the low or high of the previous day if the price Rises and breaks out above the previous High our bias will be bullish however if the price breaks below the previous low we will have a bearish bias since we are looking to scalp or day trade we will be using a modified version of this strategy by using the donchian channel indicator now that we know the basics of the strategy let's change the indicator settings navigate to the indicator settings tab and click on the inputs tab here we will first be changing the length of the indicator since we are using the five minute time frame we will be changing the length to 96. we change the length to 96 because if we multiply 96 by 5 we get 480 minutes which is equal to 8 hours this means that on a higher time frame for example the 15 minute time frame we would change the length to 32 since if we multiply 15 by 32 we also get 480 minutes keep in mind that if you increase the time frame even further to for example the one or four hour time frames the calculation no longer makes sense and a default value of for example 20 should be used now that we have changed the length we can see that there is also a multi-time frame option for the donchian channels indicator however we won't be using this setting instead let's head over to the style tab once you have changed the length we will be changing the colors of the upper and lower lines to a lighter blue in order to make them easier to see that was all that we needed to do let's first understand how we will be reading the indicator the donchian channel indicator consists of three lines the first of which is the middle line also known as the median line or the center line this line represents the average of the highest high and the lowest low over a specific period it acts as the Baseline for the indicator and helps determine the overall trend of the market the second line is the upper band which is plotted above the middle line the upper band can serve as a resistance level however it can also indicate potential breakouts if the price breaks through it conversely the third line is the lower band plotted below the middle line the lower band acts as a support level however just like with the upper band it can act as a signal for a breakout if the price breaks through it now that we know what the components of the indicator are and how they can be read let's take a look at how entries can be made with it before looking at a full strategy to enter into positions with the first method for entering into positions with the indicator involves looking for crosses where the price action closes below or above the middle band in this case the price action closed above the middle band this indicates a possible bullish shift in the market sentiment on the other hand we can see here that the price action crossed below the middle band of the donchian channel indicator this indicates a bearish shift in the market sentiment this strategy already seems to provide good signals however we will be using a different method that closely resembles Larry Williams volatility breakout strategy here we can see that the price action was in a longer term consolidation phase after a strong downtrend took place however we can now see that the price action made a strong move in the bullish Direction this meant that the price hit the upper donchian Channel band causing it to change because of this the bias has become bullish and we will enter into a buy position we will be placing the stop loss at the middle band or at the recent swing low if the middle band is at an unreasonable price for the take profit we'll be targeting a two times risk to reward ratio now let's see how the trade plays out in this case we can see that the price was previously in an uptrend however we can now see that the price has started heading in a downward Direction we can also see that the price reached the lower donchian Channel band causing for it to change because of this we will be entering into a cell position here as you can see this time the middle band is at an unreasonable price because of this we will be placing the stop loss at the recent swing High instead for the take profit we will still be targeting a two times risk to reward ratio now let's see how the trade plays out from the two example entries we can conclude that this indicator already allows us to enter into profitable positions despite this if we look at the entries that weren't profitable we can see that this is usually due to the price action signals not aligning with the signal that was given we can see this happening here the price reached the upper donchian Channel band however it wouldn't have been a good idea to enter into a position here this is because we can see that two potential resistance zones were formed here if we Mark these two resistance zones it becomes clear that they are very close to the entry point making it a bad idea to enter into the buy position if we take a look at how the price action unfolds we can see that it would have indeed been a bad idea to enter into a position here another drawback of the indicator is that it doesn't consider Trends in this case we can see that the price is consolidating which causes the donchian channel lines to become narrow when this is the case very small moves in the price action can already cuss the price to reach the upper or lower dantean Channel lines in order to counter the false signals that are provided by the indicator let's add two extra indicators to the Chart but before that if you are looking for a crypto exchange where you can hold or day trade crypto then check out by bit they currently have some of the lowest fees along with many trading possibilities such as spot derivatives nft and even options trading sign up via the link in the description to get up to a thirty thousand dollar sign up bonus along with zero maker fees for the first 30 days the first indicator we will be adding to the chart is the Larry Williams large trade index also known as the lwti which was explained by Larry Williams in his book trade stocks and commodities with the Insiders secrets of the cot report navigate to the indicator search Tab and search for the Larry Williams large trade index select the indicator made by locks and add it to the chart the next indicator we will be adding to the chart is the volume indicator search for the volume indicator select the indicator made by trading View and add it to the chart now let's change the settings of the indicator first head over to the lwti indicator settings and click on the inputs tab the first setting that we can change is the period of the indicator by increasing the value of the period we can capture longer term Trends and potential trade signals as you can see if we increase the value significantly a longer term lwti line is shown conversely decreasing the period value can make the indicator more sensitive to short-term price movements now that we have decreased the value we can see that this is indeed the case since we want to use a value that shows us the midterm Trend and filters out counter Trend signals let's change the value to 25. the next setting that can be changed is for the smoothing of the indicator if we enable this setting and increase the smoothing period you can see a clear difference the lwti line has become smoother however this has cost for the signals it provides to be delayed because of this we will keep this setting disabled there is also the colored bar setting if you prefer having the candlesticks colored and displaying the signal of the lwti you can enable this setting but keep in mind that this is a matter of personal preference the final settings we will be changing are for the volume indicator navigate to the volume indicator settings and click on the input tab here we will be changing the length of the moving average to 30. now head over to the style tab we will need to enable the volume moving average line finally we will be changing the color of the indicator line in order to make it easier to see that was all that we needed to do now let's take a look at how we will be combining these indicators in order to enter into a position we will first be using the donchian channel indicator to provide us with a signal of whether we should enter into a position in order to confirm the signal provided by the donchian channel we will be taking a look at the lwti indicator if the indication provided by the lwti aligns with the signal provided by the donchian channel indicator we will consider it valid however before we can enter into the position we will need to make sure that there is enough volume in the market in order to do this we will be using the volume indicator this combination allows us to assess price action Market sentiment and liquidity providing a more comprehensive view of market dynamics and enhancing the accuracy of our trading decisions now let's take a look at how we implement this and enter into positions by using these indicators in this case we can see the following first we can see that both a support and resistance Zone were created here let's first Mark the support Zone to make it more visible to do this we will be using the box tool on the left toolbar now that we have marked the support Zone let's mark the resistance Zone now that we have marked both zones we can analyze the price action we can see that the price previously broke above the resistance Zone indicating that the Zone can be broken through however it may provide some resistance if we take a look at the current price action we can see that the price has broken through the resistance Zone we can confirm this because we can see that multiple candlesticks closed outside the zone along with this we can see that the price reached the upper donchian Channel band causing it to change this is a signal to enter into the buy position in order to confirm the signal let's first take a look at the lwti indicator as you can see the lwti indicator line recently crossed above the 50 line and switched to Green indicating that the market sentiment has switched to bullish finally in order to confirm that there is enough volume in the market we turn our attention to the volume indicator we can see that the indicator bars are green and above the moving average showing us that we are no longer consolidating and that there is enough bullish volume in the market to push the price higher if we combine all of the signals provided by the price action donchian Channel lwti and volume indicators it becomes clear that it's a good idea to enter into a position because of this let's enter into the buy position here we will be placing the stop loss at the middle band since it is at a reasonable price for the take profit we will be targeting a two times risk to reward ratio now let's see how the trade plays out in this case we can see the following first we can see that a previous low was created here because of this let's draw a box here to show that this Zone might offer resistance if we look at the current price action we can see that the price action didn't easily break through the Zone instead the price Consolidated for a few candlesticks before heading in the downward Direction confirming the bearish bias by printing a large red Candlestick and closing below the zone we can also see that this move cost for the lower band of the donchian channel indicator to be hit this means that the lower donchian channel line has now changed along with this if we look at the lwti line we can see that it recently switched from green to Red also indicating a bearish bias finally we can see that the bars on the volume indicator are greater than the moving average along with this the bars are red indicating a large amount of bearish volume in the market because of the confirmation provided by the indicators let's enter into the position since the middle band is at an unreasonable level we'll be placing the stop loss at the recent swing High for the take profit we'll be targeting a two-times risk to reward ratio now let's see how the trade plays out as you can see extremely profitable entries can be made by using the indicator as you can see the strategy also provides great signals when we combine the donchian channel indicator with the previously discussed settings together with a premium indicator in this case we can see that by looking at the relationship between the price action and the dauntian channel and combining it with the buy sell signals and overlays indicator by Lux algo we could have entered into extremely profitable positions if you are interested in getting access to the Lux algo premium indicators check out the link in the description to get them with a 30-day money-back guarantee I hope this video could show you what a strategy based on Larry Williams techniques would look like and how you can integrate his techniques in your own strategy if you enjoyed the video please leave a like And subscribe to the channel if you have any questions feel free to leave a comment

To become profitable with trading it's important to know how much money is entering the market and how much money is exiting the market along with this it's also important to know the quantity of these transactions meaning the volume in the market there is actually an indicator that takes into account bothOf these crucial Market Concepts the indicator was created by a famous technical analyst named Joseph Granville Granville believed that volume was a critical component of market analysis and that changes in volume could reveal important information about price trends and potential trading opportunities the pvt indicator was one of his solutionsTo this idea this indicator also known as the price volume Trend indicator measures the momentum of buying and selling pressure showing us when price adjusted bullish volume outpaces price adjusted bearish volume so in today's video we will be showing you exactly how the indicator works and how it can beUsed to enter into extremely profitable positions let's first add the indicator to the chart head over to the indicator search Tab and search for the price volume Trend indicator select the indicator made by everget and add it to the chart now let's take a look at what the different components of the indicatorAre and how they work the first component of the indicator is the pvt Line This is the main component of the indicator and shows us the price adjusted volume the most basic way of reading the indicator goes as follows if the pvt line is red and moving in the downwardDirection it indicates that there is selling pressure in the market this means that the number of cell orders is increasing and Traders are willing to sell their shares at lower prices so if this occurs we can assume that the price will be moving in the bearish directionIf the pvt line is green and moving in the upward Direction it indicates that there is buying pressure in the market meaning that there is a higher chance for a bullish move to occur because of the number of buy orders increasing and moving to a higher priceIf you have used the pvt indicator before you may have noticed that the current indicator we added to the Chart looks a bit different than the original one this is because this indicator is the newer and improved version that has a second component this component is the signal lineAs you can see with the original version of the indicator it was hard to tell when the pvt line was moving in the upward direction or when the pvt line was moving in the downward Direction however the signal line makes it a lot easier to see when bullish or bearishPressure is entering the market now that you know exactly how the indicator Works let's take a look at how we can use the indicator with the most basic method whenever the pvt line crosses above the signal line it indicates that the pvt line is moving in the upwards DirectionThis causes for the pvt line to turn green showing us that buying pressure has entered into the market the opposite is true when the pvt line crosses below the signal line this indicates that selling pressure has entered the market causing for the pvt line to turn redA different method which will usually be used by more experienced Traders because of the increased accuracy involves looking at the differences between the price and the pvt indicator here we can see that the price is making lower lows this shows us that the price is an a bearish trendHowever if we take a look at the pvt indicator we can see that higher lows are being made this indicates that the selling pressure in the market is decreasing despite the price of the asset continuing to fall this Divergence between the pvt indicator and the price action canSuggest that the price of the asset is oversold and may be due for a correction if we take a look at the price action after this Divergence we can see that the price indeed made a correction and started moving in the bullish Direction in this case the price is moving in theUpward direction making higher highs however if we look at the pvt indicator we can see that lower Highs are being made this means that the buying pressure is decreasing while the price is still Rising this Divergence makes it likely that the price will make a bearish correctionAs you can see after the bearish Divergence formed the price indeed headed in the downward Direction now that we know the different methods of reading the indicator let's take a look at how we can enter into positions with the indicator let's first add some extra indicators to the chart to complete the strategyHead over to the indicator search Tab and search for the 10 moving averages indicator select the indicator made by himanshu and add it to the chart the final indicator we will be adding to the chart is the volatility indicator search for the relative volatility indicator and select the indicator made by varifidNow let's change the indicator settings first head over to the moving average indicator settings and click on the inputs tab we will be adding three EMAs to the chart this means that we will add 150 period EMA 1 100 period EMA and finally one 200 period EMAMake sure to also change the colors of the EMA's to make it easier to see now let's change the pvt indicator settings click on the style tab after that change the opacity of the plots to make it easier to see finally we will be changing the relative volatility indicator settingsClick on the settings tab and navigate to the style settings first we will be unchecking the three filters since we will only be using it to see the volume amount we will also be changing the colors to Gray that was all that we needed to do nowLet's take a look at how we will be combining the indicators we will be using the EMAs to determine the overall trend this means that we will only enter into positions that align with the indication of the EMA's next we will be using the pvt indicator to find the entries the pvt indicatorWill provide us with the buy or sell signal finally we will be using the relative volatility indicator as a confirmation to make sure there is enough volume in the market now that we know exactly how each indicator will be used let's take a look at entries that can be made using themWe are currently looking at GBP AUD on the 15-minute time frame firstly we can see that the price is trading above all of the EMAs indicating that both the short term and the long-term trends are bullish if we take a look at the pvt indicator we can see that the sellersBriefly outpace the buyers however we can also see that after a few candlesticks the buyers outpace the sellers again showing us that there is buying pressure in the market we also see that this aligns with the price pulling back to the 50 period EMA before bouncing off it finally if we look atThe relative volatility indicator we can see that the bar is greater than both the filter and the moving average this means that there is sufficient volume in the market all of these signals indicate that it's a good idea to enter into a position so let's enter into a buy positionWe will be placing the stop loss at the recent swing low for the take profit we will be targeting a two times risk to reward ratio now let's see how the trade plays out Here we can see that the price is in a downtrend we know this because we can see that the price action is trading below all of the EMAs during the downtrend we see that the price made a pullback to the EMA however after the pullback the price closedBelow the 50 period EMA again if we take a look at the pvt indicator we can see that the buyers were temporarily in control overpowering the sellers however we can now see that the sellers are in control again we can also see that during the most recent bullish overpowering the volumeOn the volatility indicator was extremely low showing us that there is not enough bullish volume for an uptrend to start however if we take a look at the relative volatility indicator now we can see that there is a high amount of bearish volume in the market due to theTall bar with a greater value than both the filter and the moving average lines all of these signals indicate that it's a good idea to enter into a position so let's enter into the cell position we will be placing the stop loss at the recent swing HighFor the take profit we will be targeting a two times risk to reward ratio now let's see how the trade plays out the indicator is also great for entering into reversals as you can see here we have added the premium Lux I'll go reversal zones indicatorFor this strategy we will first wait for the price action to reach the reversal Zone then once this happens we will wait for the pvt indicator to turn red confirming the signal if this occurs we will enter into the position we will be placing the stop loss at the recent swing HighFor the take profit we will be targeting a two times risk to reward ratio if we wait for the price to reach the reversal Zone and then enter into a position once the pvt confirms the signal we can enter into extremely profitable reversal trades if you are interested in getting accessTo all of the premium Lux algo indicators then check out the link in the description to get 30 off I hope this video could show you how the pvt indicator works and how it can be used and integrated into different strategies keep in mind to always back test strategies before utilizing them thanksFor watching