I read all those "rally on low volume is good" arguments over the weekend and could not beleive what I saw. Does anybody else think low volume is good for direction?
Anyway, more downside is expected, but don't get too excited.
Denleo
No more volume arguments?
Started by
denleo
, Jul 10 2007 02:53 PM
8 replies to this topic
#2
ogm
-
- Traders-Talk User
- 13,780 posts
Member
Posted 10 July 2007 - 02:57 PM
I read all those "rally on low volume is good" arguments over the weekend and could not beleive what I saw. Does anybody else think low volume is good for direction?
Anyway, more downside is expected, but don't get too excited.
Denleo
Why not to get excited ?
4 days worth of a rally wiped out in 1 day.
Daily summations turned back down.
SPX closing under the darn 50 SMA.
Looks pretty exciting.
And most indicators have a lot of room to fall.
And on top of all that, 2 of my favorite longs , TSL and YGE, both closed green. I'm very excited
Edited by ogm, 10 July 2007 - 03:02 PM.
#3
SemiBizz
-
- Traders-Talk User
- 23,208 posts
Volume Dynamics Specialist
Posted 10 July 2007 - 02:59 PM
I read all those "rally on low volume is good" arguments over the weekend and could not beleive what I saw. Does anybody else think low volume is good for direction?
Anyway, more downside is expected, but don't get too excited.
Denleo
Yeah, I guess I'd rather be "ignorant" and make money than be a "smart" low volume bull.
Price and Volume Forensics Specialist
Richard Wyckoff - "Whenever you find hope or fear warping judgment, close out your position"
Volume is the only vote that matters... the ultimate sentiment poll.
http://twitter.com/VolumeDynamics http://parler.com/Volumedynamics
Richard Wyckoff - "Whenever you find hope or fear warping judgment, close out your position"
Volume is the only vote that matters... the ultimate sentiment poll.
http://twitter.com/VolumeDynamics http://parler.com/Volumedynamics
#4
Insider
-
- Traders-Talk User
- 1,393 posts
Member
Posted 10 July 2007 - 03:22 PM
I read all those "rally on low volume is good" arguments over the weekend and could not beleive what I saw. Does anybody else think low volume is good for direction?
Anyway, more downside is expected, but don't get too excited.
Denleo
Yeah, I guess I'd rather be "ignorant" and make money than be a "smart" low volume bull.
#5
arbman
-
- Traders-Talk User
- 19,504 posts
Quant
Posted 10 July 2007 - 03:23 PM
I still feel like shiyt about my short trades, this market still feels like a retracement of the low volume rally only toward the high volume lows. Remember we went up without stocks and without volume!
#6
relax
-
- Traders-Talk User
- 2,224 posts
Member
Posted 10 July 2007 - 03:23 PM
Denleo, completely disagree
at some point every argument gets its case
but after the corrections in may 2006, february 2007 and june 2007
all moves up started on low volume and went on for quite a while onlow volume, even though the high volume came on down days
with the perception of us being at a mature bull campaign, it makes good sense that down days are high volume, because people think "oh this is it"
we've seen bottoms been made on very high volume
so the whole volume theory seems to be more complex
#7
thespookyone
-
- Traders-Talk User
- 6,043 posts
Member
Posted 10 July 2007 - 03:27 PM
"Yeah, I guess I'd rather be "ignorant" and make money than be a "smart" low volume bull."
Kisacik: "Remember we went up without stocks and without volume!"
TOO FUNNY!
Kisacik: "Remember we went up without stocks and without volume!"
TOO FUNNY!
#8
denleo
-
- Chartist
- 3,097 posts
Member
Posted 10 July 2007 - 03:41 PM
Low volume moves up can be bullish only after high volume climactic sell offs. That is what sentimntrader's study was about. Low volume rally when the rally is mature is bearish. Do not confuse these two developments.
Denleo
#9
relax
-
- Traders-Talk User
- 2,224 posts
Member
Posted 10 July 2007 - 03:46 PM
have not read sentimenttrader
but completely with you now
nasdaq composite has a gap down to 2.632.30 - interesting to see if this gets closed - this would IMO be good evidence that we are not rallying to the moon in the ST
but wow this market changes reality from day to day, so we will see
cheers and happy covering tomorrow
but completely with you now
nasdaq composite has a gap down to 2.632.30 - interesting to see if this gets closed - this would IMO be good evidence that we are not rallying to the moon in the ST
but wow this market changes reality from day to day, so we will see
cheers and happy covering tomorrow
Low volume moves up can be bullish only after high volume climactic sell offs. That is what sentimntrader's study was about. Low volume rally when the rally is mature is bearish. Do not confuse these two developments.
Denleo
