Volume-Price-Patterns-Context & Catalysts, an Application to Trading Stocks

[Ann]

A few companies seem to be consolidating their shares in order to raise the price, prior to listing on another exchange (eg. US).

Yes ABR 1:10 is one heading for the NASDAQ I think I remember reading. I thought I would just sit back and watch for a bit.

 

[tech/a]

My comment about reading a chart going forward was not directed at DW8 specifically but the hope that people can be analysing any chart they find of interest with some new insights. Right hand side of any chart!

Later

 

[Captain_Chaza]

Beware of the Politically Incorrect Financial Speak
A correction is at least a 20% loss
"Learn to live with it" They say
AND
Most do as they know no better

"Consolidations " are just a share split
An therefore an adjusted share chart should not move in any direction

It just makes it cheaper to buy a share but the market cap is still the same
EG; Apple and Tesla and soon to consolidate/reconstruct is Google I hear
These are not CONSOLIDATIONS
They are merely RECONSTRUCTIONS

A consolidation in Seamanship terms is called the DOLDRUMS

This often occurs around the Equator when travelling from South to North
It is very taxing on ones patience and even puts some sailors into horrible despair
Particularly when they don't have enough Water and Fishing line on board

Forget about the Sauerkraut
This is the least of their problem

Stay Well , Stay Safe and Bon Voyage on the Criptos at dawn
'Promises to be a Windfall opening on my CRYP

 

[Ann]

My comment about reading a chart going forward was not directed at DW8 specifically but the hope that people can be analysing any chart they find of interest with some new insights.

Do it forward John, I want to see you read a chart using volume as it moves forward, after the fact knowledge is little more than fresh cowpats, not even good for the garden yet!

 

[tech/a]

Go to charts of interest where I’ve read charts going forward many times
ive been asked to continue the topic to do that I was under the impression people would like to know how and what I look for as a chart develops.

but if people don’t want that I’ll post up charts and put into practice the analysis I see. If people don’t understand please ask away!

Its a pretty good way to see first hand how to trade
Winners, Losers, and Wowsers. In fact probably the very best way to learn anything

I’ll pick some from watchlists and work the right side of the chart with commentary leading up to and decisions to trade.
Which maybe Entries, Exits or holds.

I’ll get a couple up .

 

[Captain_Chaza]

IMHO
If you cannot place a Technical "BUY or SELL ALERT" on any Technical Indicator it is not worth having onboard
Once it gets to reading the Tea leaves It is time to leave
We all read them differently and Some may read them better than others

This not Technical Analysis

This is Sweet and Sour Fundamental Analysis to me
IMHO

 

[tech/a]

IMHO
If you cannot place a Technical "BUY or SELL ALERT" on any Technical Indicator it is not worth having onboard
Once it gets to reading the Tea leaves It is time to leave
We all read them differently and Some may read them better than others

This not Technical Analysis

This is Sweet and Sour Fundamental Analysis to me
IMHO

Can you clarify what it is your alluding to
Anne’s Charts or My intro to my form of VSA / T/A ?
Im. Not following any cohesion to your post particularly
the Fundamental Analysis reference?

 

[Captain_Chaza]

Can you set an ALERT on the VSA /TIA on any or a few stocks to study
Or
Do you have to watch the screen all day and sometimes even all night on all your favorite Stocks and Shares?

Technical Analysis gives you the ability to Set ALERTS

Fundamental Analysis is in the Domain of Cowboys IMHO
How much they know is questionable and how little they know is Criminal

All They Say is

"She'll be right in the LONG TERM because we have a diverse Portfolio

That says to me That they hold all the loses and hold all the winners

(INFLATION is GOOD)

It proves to me that they have no BUYING or SELLING ALERTS

Mainly Because it can't be done with Sweet FA
It is based on their personal readings of the Tea Leaves

 

[tech/a]

Can you set an ALERT on the VSA /TIA on any or a few stocks to study
Or
Do you have to watch the screen all day and sometimes even all night on all your favorite Stocks and Shares?

Technical Analysis gives you the ability to Set ALERTS

Fundamental Analysis is in the Domain of Cowboys IMHO
How much they know is questionable and how little they know is Criminal

All They Say is

"She'll be right in the LONG TERM because we have a diverse Portfolio

That says to me That they hold all the loses and hold all the winners

(INFLATION is GOOD)

It proves to me that they have no BUYING or SELLING ALERTS

Mainly Because it can't be done with Sweet FA
It is based on their personal readings of the Tea Leaves

Yes of course.

All analysis including F/A and T/A isn’t an exact science.

The best result of any analysis is giving us the ability to anticipate a profitable trade or an Exit which Diminishes
Risk of loss .

Failure of analysis doesn’t mean it’s useless it’s what you do with the information that determines it’s value.
What you do with wins and losses How you handle Risk
Even determining risk at entry exit and hold!

Its worth the journey.

 

[tech/a]

Just for the record I was holding GMD when they consolidated the number of issued shares.
I held 46,600 and they were trading at 0.175 (Value = 8155).
Post consolidation I held 4660 at a price of 1.75 (value = 8155)
There was no "robbery". When trading resumed the MD was very thin and I sold as drifted down not wanting to get stuck without any buyers. The MD thickened up soon after I sold.

A few companies seem to be consolidating their shares in order to raise the price, prior to listing on another exchange (eg. US).

Consolidations of the bad kind happen in the micro cap sector as CEO's try to hide the fact that the price has gone nowhere for years and yet need to raise capital once again. Reducing the number of issued shares hides this ASX enabled thievery.

PEN
A classic example

 

[Ann]

John, could you do me a favour when you are writing on your charts, please don't use red, I can barely see it on the black perhaps a lighter grey would be easier for me to see...On reflection, now I see how you are trying to explain this, any old chart will do, no need to forward chart.

I don't understand what you mean by using the term 'supply'. You say running out of supply meaning quantities of shares are becoming less plentiful, I am sure there would be millions of shares available if someone wanted them, the market makers would always be hovering.

When you say anomaly, do you mean a lift in trading volumes? Or is it more extensive than that?

 

[tech/a]

I'll use white to notate.
Supply are sellers.
Demand are Buyers.

Basically, if sellers withdraw then Buyers are forced to bid higher to make a sale attractive to a seller. (Think Gaps UP.)
If sellers want to move large amounts NOW they will accept lower prices to quit their holdings (Think Gaps DOWN.)

Anomalie ---- out of place not normal---bit like myself!

 

[Ann]

I'll use white to notate.

If it is not too late, I would prefer grey, white hurts the eyes, damn dyslexia is a bugger!

 

[Ann]

Basically, if sellers withdraw then Buyers are forced to bid higher to make a sale attractive to a seller. (Think Gaps UP.)
If sellers want to move large amounts NOW they will accept lower prices to quit their holdings (Think Gaps DOWN.)

Right, got it!

Anomalie ---- out of place not normal---bit like myself!

Yeah, there is usually only one or two like you in any forum!?

 

[tech/a]

If it is not too late, I would prefer grey, white hurts the eyes, damn dyslexia is a bugger!

That's interesting My wife is a long time member of the

A.D.N.

 

[Ann]

That's interesting My wife is a long time member of the

A.D.N.

This is a bit off topic but it is your thread so you get to lead the way...

How long has she known she's had dyslexia, how well did she cope with her school days? Does she feel it has impacted her life negatively or positively?

 

[tech/a]

A.D.N

National Dyslexia Association.

 

[tech/a]

This is a very good example of how extreme volume over a short period (3 Days) can have a strong bearing on future prices.
Just by buying and selling at or very near the extremes of the V/C area, there is some profit to be made.

I hope the grey is better for you too see ANNE

If not Try -----Speck Savers.

 

[Ann]

This is a very good example of how extreme volume over a short period (3 Days) can have a strong bearing on future prices.
Just by buying and selling at or very near the extremes of the V/C area, there is some profit to be made.

I hope the grey is better for you too see ANNE

The grey is awesome, I can read it no trouble, the blue, on the other hand, causes mucho pain! Not to worry, I know what the chart looks like!

However this was an entirely worthwhile exercise, I now know the amazing truths volume can tell me. I have been in total concentration for two days absorbing my belated discovery. I do wish I had looked at volumes years ago, it makes the whole exercise of reading a chart a total dawdle. Keeping it so simple, volume spikes, horizontal lines a Stairway to Heaven! ?




I feel a song comin' on....

 

[tech/a]

Getting there
The basics have made an impact more to come and on that chart
Remember if a level is blasted through then that is an anomaly and should be highly regarded