What Is VSA?

VSA (Volume Spread Analysis) is a trading method that studies the relationship between price, volume, and the size of candles (spread). It helps traders understand whether buying or selling pressure is coming from professional money. VSA shows what big players are doing behind the scenes.

Core idea:

  • Volume tells the truth.
  • Price shows the result.
  • Spread shows effort vs result.

Key Elements of VSA

VSA focuses on three main components that explain market behavior clearly.

Main elements:

  • Volume: Activity level of traders.
  • Spread: Size of the candle.
  • Close: Where price ends in the candle.

By analyzing these, traders can detect accumulation, distribution, and manipulation.

Important VSA Signals

VSA uses specific signals to identify when smart money is entering or exiting trades.

Common VSA signals:

  • No Demand (weak buying)
  • No Supply (weak selling)
  • Stopping Volume
  • Climactic Volume
  • Effort vs Result

These signals help traders avoid fake breakouts and traps.

How to Trade with VSA

VSA traders combine volume analysis with market structure and support/resistance.

Trading process:

  • Identify trend.
  • Analyze volume behavior.
  • Look for VSA signals near key levels.

  • Enter with confirmation.
  • Manage risk properly.

Why VSA Is Powerful

VSA works because it reveals the intentions of smart money. Instead of guessing, traders read the market’s story through volume.

Benefits:

  • Early trend detection.
  • Better entry timing.
  • Reduced false signals.
  • Strong confirmation tool.

Conclusion

VSA is a professional trading approach that helps traders understand what’s really happening behind price movements. By learning to read volume, spread, and closing prices, traders can align with smart money and trade with confidence in any market.