|
PureBytes Links
Trading Reference Links
|
----------
> From: Al Taglavore <altag@xxxxxxxxxxxx>
> To: diamond@xxxxxxxxxxxx; MetaStock-list <metastock-list@xxxxxxxxxxxxx>
> Subject: Re: Looking for Volume Indicator
> Date: Saturday, February 07, 1998 2:27 PM
>
> Zane,
>
> Volume is indeed an important factor. As I see it, volume is best
> expressed as the intensity of trading. It defines the amount of effort
> that is required to move price "n"points. Of course, the "float" must
be
> considered in relation to the amount of volume in a trading period, and
one
> must factor the normal average trading volume of a security. Like
driving
> your car: if you start out from the light with moderate pedal pressure
and
> gradually accelerate to 60mph, it's ho-hum. If, however, you put the
pedal
> to the metal and zoom to 60 in 9.3sec, THIS represents power---something
> has indeed changed. If anyone has an indicator that will factor how much
> volume is required to move a security "n" points over "x" period of time
> based on "y" the percent of float, please post.
>
> Al Taglavore
>
> ----------
> > From: diamond <diamond@xxxxxxxxxxxx>
> > To: MetaStock-list <metastock-list@xxxxxxxxxxxxx>
> > Subject: Looking for Volume Indicator
> > Date: Saturday, February 07, 1998 10:59 AM
> >
> > Things are kind of quiet right now, so I'll post a question that has
been
> > troubling me. I am a short-term trader (three days to a couple of
weeks).
> I
> > want to use volume to help my trades. I have tired testing Volume
> > Oscillators and Volume ROC in my trades, but they both seem to give me
as
> > many false signals as good signals.
> >
> > I am beginning to think that volume may not be such a good indicator
for
> > buy and sell signals on short-term trading. A straight Volume indicator
> > seems to be as good as any I have found, and it's not all that good. I
> have
> > read that some traders don't use volume at all, and that other traders
> > don't agree on what volume signifies on the chart.
> >
> > I was trying to get my volume indicator to tell me two things when I
was
> > testing it.
> >
> > First, when the market is moving sideways, I was trying to separate the
> > real MA uptrend buy signals from the false by looking for increase
> volume.
> > (Which does not always happen. Sometime volume even goes down, stays
> about
> > the same, or goes flat, on the start of an uptrend.)
> >
> > Second, after I am long, and the trend is going up, I want to separate
> the
> > false tops from the real top. That is, there are always several
> adjustments
> > on the way to the resistance level top, and I thought volume might help
> me
> > locate them so I would not sell to fast when the price crossed my MA.
If
> > volume would tell me what was going on (or give me some suggestion)
> during
> > these adjustments, I would know if I should get out then, or wait and
> see.
> >
> > I have pushed price indicators to *my limits.*(Not your limit, buy
mine.)
> I
> > can't seem to get much more out of them no matter what I try. I was
> hoping
> > to find some way to use volume to give me that extra 3% edge. But, to
me,
> > volume is just too weird. Sometimes it acts like it has no connection
> with
> > price, and other times it is right on the money.
> >
> > I am looking for a volume indicator that you think works, and under
what
> > circumstances. (Remember that I am a short-term trader, and that it has
> to
> > work with my trading.)
> >
> > Regards
> > Zane Kori
> > Abilene, Texas
> >
> > *
> >
> >
> >
> >
> >
> >
> >
> >
|