Percentage of funds invested out of the total funds involved in trades
The volume of trades on a currency pair characterizes the volume of funds engaged in a pair including all market positions. The indicator of the volume of positions on a currency pair allows monitoring the level of total investments of both bulls and bears (buyers and sellers of a currency pair), i.e. the current volume of the market. The volume of positions on currency pairs in combination with the indicator of trades’ number characterize how interested Forex participants are in trading a given currency pair.
A weighty advantage of the indicator is a possibility to get information about a real volume, outside the context of the number of trades, as the market is more influenced by a position of 100 lot volume rather than 5 deals of 1 lot volume.
Critical growth of the currency pair position volume means a possibility of a new trend. Less volume on a currency pair signals lower interest of speculators in it, and a more pronounced sideways movement appears to be likely.
In InstaForex MetaTrader terminal this type of statistics is displayed in the form of XXYYYYYYY symbol, where XX has the following meanings: