Volume: How can it be used in trading?

[Boggo]

Thanks for the input Frank, I'm up 60% with GRR but have been starting to feel like I should be taking profits.

And that may be the answer to Roland's question above.

 

[roland]

And that may be the answer to Roland's question above.

No answers needed, no point studying volume on stocks that you have no interest in.

 

[roland]

HDF's volume today so far is higher than an average combined month!

Disclosure for boggo: I hold this stock

 

[roland]

Looking at HDF's chart, it seems that the volume spikes don't seem to affect the SP as much as most others. I guess being a Stapled Infrastructure Security it tends to be more stable. Although the alltime record volume today has lifted it 7%

 

[Wysiwyg]

HDF's volume today so far is higher than an average combined month!

Disclosure for boggo: I hold this stock

How often are these news spikes the end of a swing? Buying on an announcement is extremely high risk because the majority of the time price will drop back next bar or soon after. Buying on news is a phenomenon I have been drawn into several times. Stupid in hindsight.

 

[roland]

Actually, taking out APA's trade - the volume is pretty average

 

[tech/a]

Anyone watching ICN.
Saw the spike at 52c and out now waiting for Supply to dry up (If it dries up) before taking another position.
10 min chart is interesting

 

[roland]

Anyone watching ICN.
Saw the spike at 52c and out now waiting for Supply to dry up (If it dries up) before taking another position.
10 min chart is interesting

looks like the horse has already bolted to me

 

[Wysiwyg]

Re: ICN

One of the contributors to trading failure is this phenomenon. The desperation to make a quid from a volatile price move invariably leaves several learners holding the hot potato. This mob at the top straight into on an instant large loss or stopped out near after.

 

[roland]

Re: ICN

One of the contributors to trading failure is this phenomenon. The desperation to make a quid from a volatile price move invariably leaves several learners holding the hot potato. This mob at the top straight into on an instant large loss or stopped out near after.

Makes for a good resistance level

 

[roland]

MAH's rumour volume has spilled over to today. Interesting to note that MAH denied any rumour of contracts and yet the volume has persisted and the SP has held.

 

[Boggo]

Keeping an eye on NBS at the moment, some continous buying in 6681 lots, volume up today.

Would be interested in your VSA view tech/a

(click to expand)

 

[tech/a]

looks like the horse has already bolted to me

Sorry I have held this since 26c
Been trading it live on "That other Forum".
On the VSA Elliot Thread there.

 

[Boggo]

MAH's rumour volume has spilled over to today. Interesting to note that MAH denied any rumour of contracts and yet the volume has persisted and the SP has held.

Also being traded on "That other forum" on the EW Scans thread, in at 0.73.

 

[roland]

Also being traded on "That other forum" on the EW Scans thread, in at 0.73.

Not sure what "The Other Forum" is but feel I am missing something.

I was in at .74 and pulled my pants a little early at .80

 

[roland]

Keeping an eye on NBS at the moment, some continous buying in 6681 lots, volume up today.

Would be interested in your VSA view tech/a

(click to expand)

are we looking to see a selling climax spike, or is the long consolidation enough to hold the bottom? There were some nice selling climax spikes earlier in the chart

 

[roland]

Let's see if I can read the volume correctly with AWE

Re last 3 bars:

1st bar, wide spread on good volume finishing strongly - has all the small potatoes buying - Distribution?

2nd bar, wide spread on good volume, opens higher than previous day, but closes lower - Buying Climax?

3rd bar, wide spread, good volume, opens weak, a quick up test and then a stock dump.

4th bar (hypothetical), wide spread, flat open, good volume, more selling - close just below $2.70


Onward: - slow trickle down to to find support at $2.60. Will consolidate at $2.60 on narrow spreads and low volume (absorption phase). A quick blip downwards to ferret out the stop losses and weak holders before an improving Oil price assists with getting us back above $2.90

 

[tech/a]

Would be interested in your VSA view tech/a

NBS view.

CLICK to expand.

 

[tech/a]

AWE
View.

CLICK to expand

 

[tech/a]

My update on GRR which I'm trading.

Click to expand.