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#1 Jnavin

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Posted 21 February 2007 - 05:10 PM

SPX

Is there any significance to the steady decline in volume from the beginning of the year to the present?

#2 Bandit

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Posted 21 February 2007 - 05:12 PM

SPX

Is there any significance to the steady decline in volume from the beginning of the year to the present?


Yep- Distribution has we head for the late Feb top!!

#3 fib_1618

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Posted 21 February 2007 - 05:27 PM

Is there any significance to the steady decline in volume from the beginning of the year to the present?

It's not the quantity but the quality of daily volume that counts.

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#4 ...

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Posted 21 February 2007 - 05:42 PM

While there's no way to know the extent, part of the drifting off of volume seems to be associated with some significant dissatisfaction by some elements in the universe of traders with the way that the NYSE hybrid trading system has been implemented. Specialists. Can't live with 'em, can't live without 'em.

#5 arbman

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Posted 21 February 2007 - 05:54 PM

It's not the quantity but the quality of daily volume that counts.


From the sector leadership to the buying pressure (in terms of trins), I don't see any quality that you are mentioning in this rally...

#6 fib_1618

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Posted 21 February 2007 - 05:55 PM

From the sector leadership to the buying pressure (in terms of trins), I don't see any quality that you are mentioning in this rally...

Then you may not be looking hard enough?

Fib

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#7 A-ha

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Posted 21 February 2007 - 06:10 PM

Volume drying towards that 4 year long top line... hmm let me guess. The only thing I can convincingly tell you that the volume will soon significantly surge in the direction of the breakout. Which way breakout? No one can know it for sure but I strongly suggest you to use a tight stop if you are long because that kind of trend always prevails at least initially. In short, my best guess is SPX will soon dive on heavy volume, in an impulsive way erasing weeks or months of gains in days.

Edited by xD&Cox, 21 February 2007 - 06:13 PM.


#8 spielchekr

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Posted 21 February 2007 - 06:13 PM

It must be a volume quality more arcane than up>down.

http://stockcharts.com/c-sc/sc?s=$NYA&p=W&st=2005-08-01&i=p19700667008&r=6884.png

#9 hiker

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Posted 21 February 2007 - 06:14 PM

xD..why is that the high odds play?

#10 fib_1618

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Posted 21 February 2007 - 06:44 PM

It must be a volume quality more arcane than up>down.

Correct...it's the quality of advance/decline plurality of volume that counts the most.

This has been something of frustration for many analysts to get their arms around since the summer lows, but the daily volume pattern has been fully consistent to a classic "wall of worry" uptrend - one of which many find hard to believe and refuse to commit to, and at the same time, the sell side can't get any traction in the other direction (because of high liquidity levels), and so we continue to sneak higher because of simple supply and demand factors.

Fib

Better to ignore me than abhor me.

“Wise men don't need advice. Fools won't take it” - Benjamin Franklin

 

"Beware of false knowledge; it is more dangerous than ignorance" - George Bernard Shaw

 

Demagogue: A leader who makes use of popular prejudices, false claims and promises in order to gain power.

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